Economy

SA DA party confident fiscal gap from VAT reversal can be bridged

Date: Apr 25, 2025

The Democratic Alliance (DA) has expressed confidence that the fiscal shortfall caused by the reversal of South Africa's (SA) Value Added Tax (VAT) increase can be effectively addressed.

DA Leader John Steenhuisen shared his views during an interview with the SA Broadcasting Corporation at the Union Buildings in Pretoria on Thursday.

Steenhuisen highlighted that the funds expected from the VAT increase represent only 0.7% of the national budget, a figure he believes can be recovered through strategic savings.

"The money that would have been raised by the VAT increase amounts to 0.7% of the entire budget. Now, if you can't find 0.7% of savings in this multi-trillion-rand budget, then there's something wrong with the accountancy," he stated.

The DA leader emphasised that his party has already proposed several areas where savings could be made and is prepared to present additional suggestions.

"We’ve put on the table a number of areas where there are savings, and we will again do so because we want to play a constructive role in getting a credible, funded budget on the table that’s going to allow us to help grow the economy and create jobs," Steenhuisen added.

--SABC/ChannelAfrica--

Comments

comments powered by Disqus

Web Content Viewer (JSR 286)

Actions
Loading...
Complementary Content
CLOSE

Your Name:*

Your Email:*

Your Message:*

Enter Captcha:*