IFP defends support for budget
IFP leader, Velenkosini Hlabisa, says the proposed increase in value-added tax should be temporary, warning that it must be rolled back once the state secures a more sustainable source of income.
The IFP supported the revised budget, which was passed, in the National Assembly last week.
Hlabisa’s defended their backing saying it comes with a strong call for fiscal discipline, transparency, and real efforts to grow the economy.
He was briefing the media after the party's National Executive Committee meeting on Monday.
"What is most needed now is a good dose of honesty about the economy, about the dire situation our people face, and why the IFP supports the 0.5% VAT as a last-ditch interim solution."
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The EFF, which has opposed the increase, has submitted what it says are alternative revenue-generating proposals to the National Assembly.
Some of the plans include adjusting personal income tax brackets for inflation and increasing corporate income tax.
