- Government plans to broaden the zero-rated VAT food basket to protect vulnerable South African households
- Currently, there are 19 zero-rated VAT items, including staples like bread, maize meal, milk, rice, vegetables, and eggs
- The recommendation is to expand the list to 44 zero-rated VAT items
- Advocacy group PMBEJD supports this move, citing data that shows the cost of a food basket for a family of four is out of reach for low-income families
- ANC’s economic transformation subcommittee aims to stop inflation on basic food items to create stability in South Africa
- The expansion of the zero-rated list is seen as a commitment to making essentials affordable and accessible
- The last expansion of the zero-rated list was in 2018.
Source: bizcommunity.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "South Africa"
- VAT Treatment of Municipal Supplies to National or Provincial Government in South Africa
- South Africa Proposes VAT Law Amendments to Implement E-Invoicing and Digital Reporting Framework
- Umkhonto Wesizwe Party Protests VAT Increase Ahead of Finance Minister’s Budget Speech in Pretoria
- South Africa’s Move to Mandatory E-Invoicing: Draft Law, Public Consultation, and Future Plans
- Briefing document & Podcast: South Africa’s E-Invoicing and Real-Time Reporting Overhaul
