'It is a tax that will hurt the poor hardest' #Budget2018

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

READ: Fault line between DA and EFF: To hike corporate tax or not #Budget2018

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


Recommended

by NEWSROOM AI
Read More
Fault line between DA and EFF: To hike corporate tax or not  #Budget2018

Fault line between DA and EFF: To hike corporate tax or not #Budget2018

DA says corporate tax should be reduced to stimulate economy while the EFF argues that corporates should be taxed more.

Good news, but is it enough? Universities SA on R57 billion education boost

Good news, but is it enough? Universities SA on R57 billion education boost

Universities SA says it's concerned the money may not be enough and wants Treasury to provide calculations.

[LISTEN] Gigaba deliberately misled the public - Zwelinzima Vavi

[LISTEN] Gigaba deliberately misled the public - Zwelinzima Vavi

Trade unions react to Malusi Gigaba's announcement of a one percentage point VAT increase for #Budget2018

'Government had no choice but to increase VAT'

'Government had no choice but to increase VAT'

Judge Dennis Davis says the increase was needed in order to make up the massive deficit in the national budget.

Sylvester Chauke: Marketers Stay WOKE during the festive season!

Sylvester Chauke: Marketers Stay WOKE during the festive season!

With a need for incremental sales comes a great deal of brand activity during this silly season writes brand guru Sylvester Chauke.

Popular articles
Former school patrol guard acquitted of all sexual abuse charges

Former school patrol guard acquitted of all sexual abuse charges

Johannes Molefe was accused of abusing dozens of children from the AB Xuma Primary School in Soweto last year.

Pop-up bar creates awareness around drunk driving

Pop-up bar creates awareness around drunk driving

Aware.org took on a bold campaign that has made South Africans pay attention.

Mabe faces ANC grievance panel over sexual harassment allegations on Wednesday

Mabe faces ANC grievance panel over sexual harassment allegations on Wednesday

EWN's Clement Manyathela says Pule Mabe is facing a grievance panel to answer to sexual harassment allegations against him.

Popular shoe brand Vans ask Ackermans to remove "knock-offs" from shelves

Popular shoe brand Vans ask Ackermans to remove "knock-offs" from shelves

Vans' brand manager says although this is a recurring problem its main concern is that this particular "fake" is a very close copy.

 'Having a senior official call Lindiwe Sisulu a prostitute is undiplomatic'

'Having a senior official call Lindiwe Sisulu a prostitute is undiplomatic'

Mail & Guardian Africa editor Simon Allison says its undiplomatic for a Rwandan official to call Sisulu names.

[Watch the latest adverts] Do you agree? Chicken Licken is the boss of Nando’s!

[Watch the latest adverts] Do you agree? Chicken Licken is the boss of Nando’s!

Chicken Licken’s latest ad flame-grills the most recent one by Nando’s, says Nicholas Kühne of Wunderbrand.

'Evidence is solid. Poor people’s money was used illegally. Shivambu benefitted'

'Evidence is solid. Poor people’s money was used illegally. Shivambu benefitted'

Ray White interviews Pauli van Wyk, an investigative journalist with Scorpio at Daily Maverick.