# The Parliamentary Budget Office has advised against the implementation the proposed VAT increase before Parliament passes the Rates Bill. The Rates Bill is essential for officially approving changes to tax rates, including VAT. Finance Minister Enoch Godongwana announced a 0.5-perent VAT hike, set for May 1st, but the Rates Bill, which requires extensive public hearings, may not pass until October. The PBO warns that implementing the VAT increase before the Bill is passed could undermine public participation and transparency.
Parliament’s budget office warns against premature VAT hike