The government originally announced a plan to increase its VAT rate to 15.5% on May 1st and to 16% in 2026. On April 24th the Finance Ministry issued a media statement announcing its intent to cancel the VAT rate.
The National Treasury has also released Government Notice No. 6157 confirming the reversal of the VAT rate increase. As a result of this cancellation the VAT rate in South Africa will remain 15%.
Sources:
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
