The Democratic Alliance (DA) has announced its rejection of the African National Congress’s (ANC) proposed budget, citing its opposition to the suggested Value-Added Tax (VAT) increases. The DA has made it clear that it will not support any tax increases unless they are temporary and accompanied by major economic reforms.
According to the DA, the ANC’s proposed budget includes two permanent VAT increases, which would cumulatively raise VAT by 1% over the next two years. The DA argues that this would lead to increased poverty among South Africans and put the government’s future at risk.
The DA believes that the underlying issue is the ANC’s refusal to accept the outcome of the general election and share power. The party claims that the ANC is willing to sacrifice the well-being of South Africans and risk the country’s economic future rather than accept its diminished majority status.
The DA has emphasized that the ANC’s VAT budget does not have a majority and that the DA will not provide the necessary support. Instead, the DA is calling on the ANC to take responsibility for fixing the budgetary “mess” it has created.
The rejection of the budget comes amid concerns over South Africa’s economic growth and the impact of tax increases on citizens. The DA has reiterated its commitment to promoting economic growth, creating jobs, and reducing waste.
