NATIONAL NEWS - Today, the Democratic Alliance Federal Council Chairperson Helen Zille, filed a 45-page affidavit in the Western Cape High Court to prevent the 0,5 % VAT increase from taking effect on 1 May.
It is more than a tad ironic that the VAT increase that will see even the poorest of South Africans pay more for everyday goods, is set to take effect on Workers' Day.
In order to stop the VAT increase, the DA is challenging the legality of the 2025/26 national budget process.
Zille says the DA is taking this fight to court to ensure that South Africans are not unfairly burdened with higher costs of living.
"We are seeking an interdict to stop SARS from implementing the VAT hike on 1 May. This interdict request is based on our legal challenge to suspend the finance minister's announcement of the VAT hike and overturning Parliament's adoption of the Fiscal Framework.
"We seek to suspend the operation of the Finance Minister's announcement of the VAT hike on the basis of the constitutionality of the Minister's power to raise VAT by announcing it in his budget speech. If this is found to be unconstitutional, Minister Enoch Godongwana's announcement on 12 March of the VAT hike would not be binding."
Zille says by voting for the Fiscal Framework in Parliament yesterday, ActionSA, the IFP, and several smaller parties were complicit in hiking VAT for the people of South Africa.
"This decision will have a devastating effect on South Africans already struggling to make ends meet. The DA has been consistent from the beginning that without meaningful economic reforms to grow the economy, we could not support a VAT hike."
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