A relief for our women…
Our Finance Minister, Tito Mboweni, concluded his mid-term budget speech at Parliament to a conflicted audience.
Mboweni addressed the National Assembly on Wednesday and one key take-out that was highly anticipated was how the government was planning to lift the economy out of a technical recession.
Mboweni, however, made it clear, particularly to the left, that this was his median budget speech, an indication that not much in his speech was made to please everyone.
After all, he only had two weeks to impress his audience. One of the things Mboweni mentioned was the government’s intention to include critical and vital items to the zero-rated tax list.
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Currently, these are the list of items that are exempt from being taxed in South Africa.
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Mboweni, announced, charismatically, in his speech that after engaging with the public on what to prioritise in his median speech, he decided to include the following items on the zero-rated tax list, effective 19 April 2019.
After he urged the EFF’s deputy president, Floyd Shivambu, to clap, he warned that there is a win and a loss to this adjustment.
“The revenue loss associated with zero-rating these items is estimated at R1.2 billion. However, zero-rating these products target low-income households and restore the dignity of our people.” he warned.
A noble sacrifice that was gladly accepted by the house.