By Thebe Mabanga
Finance Minister Enoch Godongwana has formally set in motion the process to revere the proposed 0,5% VAT hike, but the process faces both legal and technical challenges, starting with the fact that the minister has also withdrawn the bills that underpin the entire process.
Parliament has confirmed that the minister has tabled the Rates and Monetary Amounts and Amendment of Revenue Laws Bill, or Rates Bill, which reverses the VAT hike by leaving the rate unchanged at 15% from 1 May.
Communication from National Assembly Speaker Thoko Didiza’s office confirms that Bill has already been referred to the Standing Committee on Finance for processing. But at the same time, Godongwana has withdrawn the 2025 Appropriation Bill and Division of Revenue Bill, which are critical pillars of the budget.
The EFF has sought to challenge this anomaly.
In a letter to the Speaker’s office, the Red Berets point
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