JOHANNESBURG - The High Court in the Western Cape has suspended Finance Minister Enoch Godongwana’s announcement of 0.5 percentage increase in VAT.
This is pending the passing of legislation regulating the VAT rate.
Despite Godongwana's recent announcement that the VAT hike will not go ahead, the court has ruled in favour of the DA and EFF in their case.
The court has also ordered that Godongwana, the National Assembly Speaker and National Council of Provinces speaker pay the legal costs of the DA and EFF.
This is because resolutions of the National Assembly on 2 April were set aside.
On this day, the two houses accepted the report of the Standing Committee on Finance and the Select Committee on Finance to adopt the Fiscal Framework.