MK Party 'not interested' in helping ANC pass a budget that includes VAT hike

JOHANNESBURG - The uMkhonto weSizwe (MK) Party said it would not help the African National Congress (ANC) pass a budget that included any increases to value-added tax (VAT).

In an unprecedented move in February, the finance minister postponed the Budget Speech due to parties in the Government of National Unity (GNU) Cabinet not agreeing on a proposed two percentage point increase to VAT.

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Ahead of the rescheduled Budget Speech on Wednesday, GNU partners have still not found consensus, with media reports that the ANC may look outside of the coalition to pass the budget.

Speaking on the sidelines of the MK protest in Pretoria on Monday, MK parliamentary whip, Mzwanele Manyi, said that the party was open to discussions as long as they did not result in the increase of VAT.

"The MK Party is not going to discuss anything with anyone that wants to increase VAT. That discussion doesn't even get off the ground. If you want to talk to us about increasing VAT, we are not interested in that discussion, we are interested in the discussion of how to bring in money and we know where to get it, including wealth tax and a one percentage point increase on corporate tax."