By Thebe Mabanga
Parliament has begun the process of cleaning the VAT and budget cancellation by confirming the suspension of the VAT hike that was due to kick in on Thursday.
The committee meeting that was to process the Money and Rates Bill that was to precede the VAT hike has also been cancelled.
The suspension of the hike is because of an order handed down by the Western Cape High Court on Sunday.
The court order also set aside the 2025 Fiscal Framework and Revenue Proposals that were adopted by Parliament at the beginning of April before being successfully challenged by the Democratic Alliance and the Economic Freedom Fighters (EFF).
“The court order thus ensured legal certainty and prevented the previously announced VAT increase from automatically taking effect on 1 May,” Parliament said in a statement
But Parliament does not admit to any procedural misstep in reaching the settlement
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