DA calls for no VAT on chicken, beef, coffee
DA leader John Steenhuisen has called on government to expand the number of VAT-exempt foods as South Africans battle to keep up with rising inflation.
Steenhuisen announced several policy proposals the party believes will assist in curbing the number of people who go to bed hungry.
South Africans are feeling the impact of the rise in food prices, which is driven up by Russia’s attack on Ukraine, which sent shockwaves through global fuel, energy, fertiliser and animal feed markets.
Steenhusien says no tax should be levied on beef, tinned beans, baby food, tea and coffee.
"Government must urgently review the list of zero-rated food items with a view to expand it to include more items commonly purchased by the poorest 50% of households, such as bone-in chicken, beef, tinned beans, wheat flour, margarine, peanut butter, baby food, tea, coffee, soup powder. Changes could be put through in the Medium-Term Budget Policy Statement."
Steenhuisen adds that the intervention could enable millions of people to put food on the table.
"Dropping the 15% VAT on some of these items would help households to stretch their food budgets a lot further and would enable people to purchase more nutritious food."
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