VAT hike reasonable

Len Walker, Somerset West

The increase of 1% in the rate of VAT to 15% amounts to R1 in every R100, and if the effects of zero rated food items are taken into account the effect is probably reduced to approximately R1 in R125.

This R1 increase can quite easily be recovered by shoppers taking their own plastic or shopping bags, or by cutting back on Lotto and smoking, drugs and alcohol.

It is regrettable that Mmusi Maimane, who made a statement that the DA was prepared to work together with President Cyril Ramaphosa, has categorically stated that the increase in VAT will adversely affect the poor.

If anything, I would have thought that the VAT should have been increased by at least 2%, and this would have contributed to balancing the revenue shortfall and would not have been out of line with other African and European countries.