CURRENTLY ON AIR ⇒
  • Nazam Hour
    Saturday, 7:05 pm - 8:00 pm
    [ - ]

feedback@radioislam.org.za

logo


((( Listen Live )))))
Radio Islam Logo


VAT Hike Opposition Grows as Budget Day Nears

Neelam Rahim | neelam@radioislam.co.za
3-minute read
14 April 2025 | 16:57 CAT

Cosatu protests against VAT increase in Cape Town ahead of the tabling of the Budget Speech on March 12, 2025. Image Credits : X@_cosatu

Mounting pressure from political parties and social partners is placing Finance Minister Enoch Godongwana under increasing scrutiny, as government faces fierce resistance over a proposed VAT hike ahead of the national budget announcement.

Treasury’s attempt to plug a staggering R250 billion deficit by raising Value Added Tax is being met with unified opposition. In an interview with Radio Islam International, Cosatu’s Parliamentary Coordinator, Matthew Parks, says the federation “would welcome” a decision to scrap the proposal, warning of its devastating effects on the working class.

“We can’t support a VAT hike or any other tax hikes which hurt the working class,” Parks asserted. “People are drowning in debt, they’re struggling with the rising cost of living.”

Parks revealed that Cosatu had raised concerns early on with both the ANC and the executive. “We’ve called for the scrapping of this VAT hike since the beginning of February. Most workers are already supporting unemployed family members. A hike would only make life more difficult for millions.”

Instead of burdening consumers further, Cosatu has proposed viable alternatives to Parliament and Treasury—proposals they believe could generate “even more” revenue without imposing additional pain on citizens. “Yes, it’s messy,” Parks admitted, “but we would prefer messiness over inflicting pain upon ordinary South Africans.”

The federation’s position reflects broader sentiment. “Society has reached a limit,” said Parks, pointing to a decade of economic strain, state capture and corruption scandals. “People don’t want to hear about further tax increases. They want to see the state fixing its spending habits.”

With just weeks to go before the budget takes effect, the ANC faces a mounting dilemma: proceed with a deeply unpopular tax increase, or take a new route that reflects the country’s dire socio-economic reality.

As consultations continue, one thing is clear—South Africans are calling not just for fiscal solutions, but for a government that listens.

Listen to the full interview on Your World Today with Mufti Yusuf Moosagie and Mathhew Parks here.

ADVERTISE HERE

Prime Spot!!!

Contact:
advertisingadmin@radioislam.co.za 

Related Articles

A Committed Vision: Zaahira Essay Jogee

A Committed Vision: Zaahira Essay Jogee

Rabia Mayet | rabiamayet@radioislam.co.za 24 July 2025 3-minute read The gift of sight is often taken for granted, but there are countless individuals in South Africa’s rural communities who live in silence, suffering from preventable or treatable vision problems,...

read more
The Middle East Report

The Middle East Report

25 July 2025 | 12:03 CAT 3-minute read Ceasefire flounders while Gaza crisis deepens Efforts to broker a ceasefire in Gaza have once again stalled, as the latest round of negotiations between US, Israeli, and Qatari officials collapsed in Sardinia this week. Middle...

read more

Subscribe to our Newsletter

0 Comments