African hospitality and entertainment group Tsogo Sun calculates it will pay an additional 54 million rand (US$4.28 million) in value added taxes due to an increase established in April 2017.
The South African government last year increased the VAT rate by 1 percent to 15 percent. Tsogo Sun CEO Jacques Booysen told Reuters the VAT “is a cost in the business that we’re going to absorb” and not pass on to patrons.
