VAT is increased-A first for new South Africa

The increase in Value Added Tax left many South African citizens in awe, that was less expected right? South Africa's economic outlook is bleak so we should brace ourselves for changes like these because this is not the last one. This article tells us more about the government's motives about increasing the tax, well to many people that is not really a justifiable decision because the poor are also under the same dome.

Yes this is big and it also came out as a huge shock but the government also had to make sacrifices for instance this one "The R85billion reduction in government expenditure over the next three years..."Malusi Gigaba. Reducing government's expenditure was not an easy decision too but it had to be taken to protect the people more especially the poor from the demand pull( i.e. inflation).

I really think this step( the increase in VAT) is really good step at least we making up for our mistake, we trying to recover from the junk status and we can't let the future generation clean our mess, repay our debts. This really proves that our future is going to be better than our present.

I would like to also hear from you guys. Our opinions are different so please let me hear them.

SOURCE: DAILY MAVERICK

LINK: https://www.dailymaverick.co.za/article/2018-02-21-budget-2018-vat-is-increased-a-first-for-new-sa/#.Wpz11Vn_wic


\