Proposed Vat Increase A Disaster For The Poor: Contralesa

The Congress of Traditional Leaders of South Africa Contralesa says the proposed Value-Added tax VAT increase will be disastrous for the poor in the country.

Contralesa President Kgoshi Mathupa Mokoena commended political parties in the Government of National Unity GNU who opposed the proposal.

The tabling of the budget was postponed for further deliberations on contentious issues that included the proposed VAT increase .

A revised budget speech will be tabled on 12 March. Mokoena says it is shocking that the tabling of the budget was postponed.

"Contralesa is shocked and surprised that for the first time in the thirty years our democracy, the Finance Minister failed to present the budget in Parliament. Consultation about this budget should have happened a long time ago. It is shocking and uprising that some GNU members were only consulted this morning on the day of the tabling of this budget.