The last time VAT showed an increase was when finance minister Paul Bérenger of the MMM-MSM party did not hesitate to put his hand in the pocket of the population.
Indeed, the VAT was increased significantly from 12 to 15%.
The increase in VAT to 15% have indeed affected all goods and services, including consumer products in Mauritius. But it never decreased since it is the main source of income for the state.
However, now with the current Finance Minister Pravind Jugnauth, everyone is suggesting that the VAT will see an increase. At one day of the budget, it is rumored that VAT could rise from 15 to 17%.
If the VAT increase is the simplest measure to increase revenues to the state, however, it represents a real hammer blow to the population. It is good to note that VAT is not levied on basic foodstuffs and medication.
What will happen to VAT? An answer will be provided in the afternoon by Pravind jugnauth. An event that is to be followed live on Top FM and Top TV as from 4 PM.