ActionSA has formally indicated its intention of rejecting the budget to the African National Congress, and the party joins several other parties that are against the 0.5% VAT increase proposal. With the ANC losing ActionSA's support, it means that the party will have to convince bigger parties, such as the Democratic Alliance (DA), for support.

THEY CANNOT SUPPORT A TAX INCREASE 

ActionSA chairperson, Michael Beaumont, explained that the party had a cordial meeting with the ANC on Friday. Beaumont said that they agreed to meet with the ANC and listen to their proposal as a constructive opposition party. "We've made a final decision in a letter to the ANC's task team negotiating the passing of the 2025/26 budget tabled earlier in March. We conveyed the view that the proposed increases in both VAT and income tax cannot be supported. It is frustrating that the ANC is now in talks with parties outside the GNU that they did not consult when discussing the budget,' he said. Beaumont added that the government has also failed to address waste from their side. "ActionSA cannot impose tax increases on South Africans to support those in the Government of National Unity (GNU) who are notionally opposed to these increases yet continue implementing them at the expense of South Africans."

NO TO BUDGET THAT INCLUDES DA

Meanwhile, MK Party spokesperson Nhlamulo Ndhlela also confirmed that they met with the ANC but that they weren't briefed about what the meeting would be about beforehand. "We only knew about the agenda when we got into the meeting. Part of the agenda included the budget, and we started with the discussions. Two things: we will not support a budget with a VAT hike or a budget that includes the DA in it. Never on God's earth will we sit at the table with the DA and negotiate, never!' Ndhlela said.