The South African Communist Party (SACP) is extremly unhappy with the Treasury's announcement that VAT will increase by one percent to 15%.
Labour organisations and opposition parties slammed Malusi Gigaba's budget speech for his decision to raise VAT.
Briefly.co.za learned that SACP general secretary Blade Nzimande says: “While some basic foodstuffs are zero-rated, the working class and poor do not live on bread alone. Our children from poor families, they wear shoes and they have to pay VAT when they buy those shoes.”
Nzimande wants the decision to be reversed and the SACP is planning to launch a campaign to make sure that the next budget speech will address the VAT increase by rolling it back according to ewn.co.za.
The ANC's national executive committee (NEC) has also expressed is anger at the decision to hike VAT saying that it will have negative consequences for the poor.
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