VAT hike scrapped! ANC, ActionSA to deliver details on how it was done
ActionSA leader Herman Mashaba.
Image: Itumeleng English/ Independent Newspapers
The Democratic Alliance (DA) will not be part of the joint briefing by the ANC, ActionSA and eight other parties in the Government of National Unity (GNU) to officially announce that the 0.5% Value Added Tax (VAT) hike has been reversed.
IOL earlier reported that Finance Minister Enoch Godogwana has scrapped the VAT increase.
The ANC has strategically excluded the two GNU parties, the DA and the Freedom Front Plus (FF+), which opposed the budget.
Inkatha Freedom Party (IFP), Pan Africanist Congress (PAC), Rise Mzansi, BOSA, United Democratic Movement (UDM), Good Party, Al-Jamah and Patriotic Alliance (PA) will communicate the outcomes of their discussions to resolve the fiscal framework.
'These parties have come together to facilitate a principled resolution to the fiscal framework impasse and to uphold the stability and developmental trajectory of South Africa,' the ANC said.
The briefing will be held in Sandton, Johannesburg, on Thursday morning.
Responding to this, ActionSA National Chairperson, Michael Beaumont, who recently told IOL that budget talks with the ANC are 'so far, so good' said, 'ActionSA looks forward to participating in the report back on the long process started by MP Alan Beesley on April 1, 2025, to explore revenue alternatives to a VAT increase.'
BOSA also commended the joint effort to get VAT scrapped, saying this is a victory for citizens.
'When we voted in support of the fiscal framework, misinformation campaigns came at us fast and loud. But we didn't waver.

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