Tax revenues record shock decline | Business | M&G

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The turmoil that the South African Revenue Service (Sars) has been under in recent years, was again evident in the preliminary tax collections figures on Monday, where it reported revenue shortfalls for the 2018/19 year reached R57.4-billion.

The turmoil that the South African Revenue Service has been under in recent years, was again evident in the preliminary tax collections figures on Monday, where it reported revenue shortfalls for the 2018/19 year reached R57.4-billion.

The commission — which was chaired by retired judge Robert Nugent — examined tax administration and governance issues at Sars. Moyane was axed last year by president Cyril Ramaphosa, on the recommendation of Nugent. If Sars had continued the practise of withholding refunds, it would likely have met its targets, Momoniat said, adding: “There seems to have been a lot of artificial playing around to make sure the target was reached and I think what’s good to see is Sars is being fully transparent,” he said, adding that the agency’s recovery will not be “instantaneous.”

Kingon said Sars had initiated a number of steps to increase its internal efficiencies — many of which stemmed from the Nugent commission’s recommendations.The inroads made in this financial year however will only yield revenue collection results in the coming three to five years, he said. Kingon highlighted his worry over the “pipeline of audits” which had developed in recent years when it came to large businesses.

 

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What do you expect if you fire the whole compliance dept

People are not working Sir, Standard Bank retrenching 2000, construction retrenching thousands, companies shutting down, Bosasa giving people monies in cash, people simply refusing to pay, some moving monies offshore. Problems Sir just problems!

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