Johannesburg – The South African government on Thursday canceled the proposed tax increase, which threatened to break the unity government after pushing from various political parties.
Finance Minister Honok Godongwana announced that the government would not implement 0.5% increase in the implementation of the standard tax (VAT), which was paid to products and services, including food and electricity, which has increased by 5%.
The proposed VAT increased was the latest controversial problem in the face of the UNITE QUESTIONS after the defeat of the parliamentary majority for the first time after coming to power in the 5th.
“The decision to give up this growth on Thursday morning said in a statement,” After carefully considering the decisions of the political parties and the recommendations of parliamentary committees. ”
The government was trying to increase taxes through VAT growth, and Godongwana said that approximately $ 1 billion would be reduced by about $ 1 billion.
The country’s second largest political party and coalition government opposed the Democratic Alliance VAT and voted against the annual budget, which initially proposed.
The DA subsequently challenged the matter this week and claimed Vijay on Thursday that all South Africa had won for South Africa.
“We will continue to fight for the expenses of all South Africans, especially the poor and marginalized people,” said DA Federal Chairperson Helen Jilli so that the government does not raise taxes for illegal expenditure, corruption and mere waste. “
Opposition parties and civil society have also criticized the proposed growth as the poor.
According to official statistics, more than 20 million folk welfare grants in South Africa depend on the unemployment rate of more than 12%.
This is the latest disagreement between the two main parties after the unity is formed last year.
There are ideological differences in the issue including foreign policies, land reform, education and reform of the health sector.
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