Despite sharp decline in company tax, Sars collects R1.7 trillion

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France Dernières Nouvelles,France Actualités

National Treasury and Sars jointly published the seventeenth annual edition of the tax statistics for 2023/24 on Tuesday.

Company income tax decreased sharply during the previous financial year, but Sars still managed to collect R1.7 trillion in revenue—R54.2 billion, or 3.2% more than in the preceding year.

Since the inception of Sars in 1997/98, the tax administration collected more than R21.1 trillion for the country’s social and economic development, Treasury and Sars said in a joint statement on Tuesday. Statistics for company income tax showed that out of the 1 166 692 companies assessed by 31 August 2024 for the 2022 tax year, 20.7% declared a positive taxable income, 54.6% had taxable income equal to zero, and the remaining 24.7% reported an assessed loss.

However, personal income tax revenue remained buoyant, supported by a recovery in employment and earnings. By 31 March 2023, the personal income tax register had grown annually by 4.5% to 25.9 million individuals and by a further 4.3% to 27.1 million at the end of March 2024. In 2023/24, 80.9% of the 488 118 active VAT vendors were companies and close corporations. These vendors contributed 93.2% to domestic VAT payments and received 92.2% of the VAT refunds paid. Although individuals made up 11.7% of active VAT vendors, they contributed 1.7% to domestic VAT payments and received 0.7% of the VAT refunds paid.

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France Dernières Nouvelles, France Actualités

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