CAPE TOWN - After the outcry that was triggered by the initial two percentage point VAT hike, Finance minister Enoch Godongwana came back to reveal a one percentage point rise spread over two years.
Several political parties remain opposed to the hike.
WATCH: Discussion | SARS Commissioner Kieswetter talks on collections of over R1bn
Also opposed to hike is the Organisation Undoing Tax Abuse. They reckon there are alternative ways to raise R500-billion.
Outa CEO, Wayne Duvenage detailed various ways to raise the funds needed to cover the budget shortfall.
He said, "We'd take a leaf out of Edward Kieswetter's book, he's the SARS commissioner, and recently before the budget speech he was saying that they've done their own modelling and there is about R450-billion to be collected."
"And this is through under invoicing, illicit trade that takes place, dealing with the various cartels that we see in cigarette and tobacco illicit trade about R30 billion in tax evasion."
"If SARS was given the ability and capacity to do this work as it used to do before Tom Moyane decimated the big business centre and other areas where they were very effective in collecting these taxes, we reckon that they would be able to get up to R450 billion."
"That might take a bit of time but there is some low-hanging fruit there," Duvenage said.