Vat Hike Reversal A Victory For All South Africans: Da

The Democratic Alliance DA has welcomed the reversal of the 0.5 percent VAT increase , which was meant to take effect next Thursday.

National Treasury earlier this morning announced the reversal of the controversial VAT hike following extensive consultations with political parties.

National Treasury says that by not increasing VAT, the estimated revenue shortfall will be around R75 billion over the medium term.

DA National spokesperson Karabo Khakhau says this is a vindication for all South Africans.

This vindication is not the DAs but that of South Africans. South Africans have made it clear from the onset that they do not have more rands or cents to spend additionally on food and basic essentials. Altogether, this is a victory and had the DA not gone to court then, the ministers legal team would not have sought for an out-of-court settlement on this matter. And perhaps we wouldnt have even seen the scrapping of the VAT increase altogether. So, we are saying as the DA to South Africans that our commitment to the fight to ensure that come the 1 st of May, there will not be a VAT increase has come to fruition. And it is a fight that we are happy to have fought together with South Africans.