Government legislating itself out of paying rates and tax in municipalities

National government is seeking to reduce the rates and taxes paid by state owned buildings in municipalities through an amendment to the Municipal Property Rates Act.

This means that municipalities that rely on the rates and taxes from these public buildings could be forced to increase rates paid by residents by as much as 5% in order to meet this shortfall. This is according to an analysis conducted by the South African Local Government Association (SALGA).

The DA will fight this cowardly move. Many South Africans are already struggling to make ends meet and cannot be expected to fork out even more money, while government makes life easier for itself.

The DA will move amendments to this bill in committee and push for the removal of the inclusion of "public service infrastructure" in particular.

South Africans cannot be expected to dig deeper in their pockets especially in the living conditions that most of our communities find themselves in.

If government is failing in its mandate to manage public finances diligently, South Africans should not be forced to bear the brunt of their failures. 

Statement issued by John Steenhuisen MP, DA Shadow Minister of Cooperative Governance and Traditional Affairs, January 30 2014

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