The Democratic Alliance (DA) and Economic Freedom Fighters (EFF) have joined forces in a legal battle to stop the planned increase in Value Added Tax (VAT) and challenge the legality of the 2025 budget process. The two opposition parties have filed a joint application in the Constitutional Court, arguing that the VAT increase and the budget process are unconstitutional and should be declared invalid.
The decision to increase VAT from 14% to 15% was announced by Finance Minister Tito Mboweni in his budget speech earlier this year. This increase is set to take effect from April 2025 and is expected to generate an additional R25 billion in revenue for the government. However, the DA and EFF are not convinced that this increase is necessary and are determined to fight against it.
In their court application, the parties argue that the VAT increase will have a devastating impact on the poor and working-class South Africans. They believe that this increase will further widen the gap between the rich and the poor, and will only serve to burden those who are already struggling to make ends meet. The DA and EFF also argue that the increase is in violation of the principle of progressive taxation, where the wealthy are expected to contribute a higher percentage of their income in taxes.
Moreover, the opposition parties are also challenging the legality of the 2025 budget process. They argue that the budget process was not transparent and did not allow for meaningful public participation. This, they believe, goes against the principles of good governance and accountability. The DA and EFF are also questioning the government’s decision to increase VAT without first exploring other sources of revenue, such as cutting wasteful expenditure and tackling corruption.
The DA’s leader, John Steenhuisen, has stated that the party’s goal is to protect the interests of the people and ensure that the government is held accountable for its actions. He believes that the increase in VAT is a lazy way for the government to generate revenue and that it will only serve to further cripple the economy. Steenhuisen has also called on the ruling party to engage in meaningful dialogue with the opposition parties and find alternative solutions to the country’s economic challenges.
The EFF’s leader, Julius Malema, has also expressed his party’s commitment to fighting against the VAT increase and the flawed budget process. He believes that the government’s decision to increase VAT is a betrayal of the poor and is a clear indication that the ruling party has no interest in uplifting the lives of the people. Malema has also accused the government of prioritizing the interests of big businesses and wealthy individuals over the needs of the majority of South Africans.
The joint application by the DA and EFF is a significant move towards holding the government accountable and ensuring that the interests of the people are protected. It is a clear demonstration of the power of collaboration and unity in the face of corruption and injustice. The opposition parties have shown that they are willing to put their political differences aside and work together for the greater good of the country.
This legal battle is also a reminder to the ruling party that they are not above the law and that they must be held accountable for their actions. It is a call for the government to be more transparent and inclusive in its decision-making processes and to prioritize the needs of the people above all else. The DA and EFF’s fight against the VAT increase and the flawed budget process is a fight for the people, and their determination and perseverance should be commended.
In conclusion, the DA and EFF’s joint application to stop the VAT increase and challenge the legality of the 2025 budget process is a significant step towards ensuring a fair and just society for all South Africans. It is a reminder that the power lies with the people and that they have the right to hold their government accountable. Let us support these opposition parties in their fight for a better future for all.