CSID Research Programme Director Dr Gilad Isaacs says the concern around the VAT increase is around who it will end up targeting and the ability for those sectors of society to afford to pay more.
Unlike personal income tax, it affects everybody equally.— Dr Gilad Isaacs, CSID Research Programme Director
Dr Isaacs says the reason more people are concerned about VAT and goods tax is because it has a huge impact on the poor.
The reason we say it's regressive tax its because the poor spend a higher share of their income on VAT .— Dr Gilad Isaacs, CSID Research Programme Director
The VAT increase has been widely critised by labour unions and the opposition parties. Some say the government could have increased corporate tax while other say it should have been reduced.
Catch the full interview below