Neelam Rahim | neelam@radioislam.co.za
3-minute read
22 April 2025 | 18:59 CAT

Advocate Michael Bishop, leading the DA’s case and being heard by judges Mabinda-Boqwana, Le Gange and Savage, during an urgent application to halt a VAT increase at the Western Cape Division of the High Court on 22 April 2025 in Cape Town, South Africa. The Democratic Alliance (DA) and the Economic Freedom Fighters (EFF) are challenging the legality of the hike, announced as part of the revised fiscal framework. (Photo: Gallo Images / ER Lombard)

In a move few expected, the Democratic Alliance (DA) and the Economic Freedom Fighters (EFF) have united in the Western Cape High Court to challenge the impending VAT increase set to take effect on 1 May—Workers’ Day. This rare alliance marks a critical juncture in the debate over taxation and executive overreach in South Africa.

Speaking to Radio Islam International, DA National Spokesperson Karabo Khakhau outlined the party’s two-pronged legal approach: a constitutional challenge and a procedural objection.

“Our arguments are clear,” said Khakhau. “Section 74 of the VAT Act, as it currently stands, delegates tax authority to the executive, which is unconstitutional. Only Parliament has the legal power to impose taxes.”

Citing a past legal precedent in the North West Province involving casino levies, Khakhau emphasized that no minister should impose taxes unilaterally. “Without parliamentary ratification, the VAT hike is unlawful.”

Khakhau also flagged significant procedural flaws in how Parliament processed the fiscal framework. “The final report considered by Parliament differed from what the joint committees reviewed. There was confusion on binding recommendations, and ActionSA’s request for a 30-day grace period was ignored,” she noted.

Beyond legalities, Khakhau painted a grim picture of everyday South Africans squeezed by economic pressures. “South Africans don’t have money left for food, baby formula, or school shoes. By sunset on payday, many have nothing left.”

She accused the ANC of abandoning the people. “The ANC has turned into our modern-day oppressors. They’ve ignored viable alternatives we proposed—cutting ghost employees, reducing travel and catering budgets, halting non-essential programs. Their refusal to act is telling,” she said.

The court case, as Khakhau warns, may be the last line of defence. “This is the final opportunity to stop the VAT hike. If we fail, there’s no recourse left for millions.”

As the nation waits for the court’s decision, the alliance between the DA and EFF highlights an unusual unity in the face of shared economic concerns.

Listen to the full interview on The Daily Round-Up with Moulana Junaid Kharsany and Karabo Khakhau here.