VAT debate rages, 15 years later.

(From Business Day (South Africa))

Byline: Sanchia Temkin

VAT debate rages, 15 years later Tax rules too complex for some, while others recommend increase to 15% or 16% Professional Services Editor TOMORROW marks the 15th anniversary of the introduction of value-added tax (VAT) in SA, a system which has proven profitable for government and expensive for consumers.

SA's VAT rate has remained at 14% since 1993, but rumours persist that Finance Minister Trevor Manuel will increase it to 15% although such a move is unlikely to take place in next year's budget.

VAT is the second most important revenue source for government after income taxes. …