More products could join the 0% VAT list
Cabinet is considering expanding the list of basic goods that are zero rated on Value Added Tax (VAT).
This follows the public outcry following the announcement by former Finance Minister Malusi Gigaba that VAT will be increased from 14% to 15%.
The announcement was made during last week's budget speech.
Communications Minister Nomvula Mokonyane says more will be done to engage South Africans on the reasons for the increase.
"Part of what we will be doing, is to further explain the issue of VAT precisely because of how it has been presented to an extent where it created a lot of confusion.
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"Secondly, it is about getting feedback from South African citizens to say let us look at other issues, things that are beyond the control of the most vulnerable let's look at them. It is precisely because of that.”
Mokonyane would not comment on reports that the Department of Water and Sanitation is bankrupt.
A full parliamentary inquiry has been instituted to look into the financial crisis at Mokonyane's former department.