South Africa

Sars sharpens capacity to tackle non-compliance, R57m assets of two firms attached

Cape Town – SA Revenue Service commissioner Edward Kieswetter has reaffirmed the Receiver’s determination to uproot the culture of non-compliance ’’deeply embedded in the operations of some companies’’.

Sars emphasised this on Tuesday when confirming in a statement on Tuesday that the assets of a logistics company that owed the Receiver R39 million in unpaid taxes have been attached by the sheriff following a civil judgment and writ granted by the Pretoria High Court.

The Gauteng-based company, Raptosec Logistics (Pty) Ltd, had unpaid taxes due to Sars for PAYE returns that were submitted without payment.

’’Sars’ PAYE Rapid Response Team engaged the taxpayer on several occasions, but the company’s compliance never improved. Sars then issued the company with a final demand on 7 July, 2021,’’ the Receiver of Revenue said.

“I exhort all taxpayers, especially employers, to refrain from this conduct that borders on criminality when they misuse taxes that by law should be paid over to Sars.

’’Sars is absolutely committed to eradicating this culture and it has deployed all necessary resources to ensure compliance,” Kieswetter said

In another case, the sheriff attached the assets of Edison Power Gauteng (Pty) Ltd. The electrical contracting company had an outstanding debt of R18 million due to PAYE returns submitted without payment.

’’Sars provides clarity and certainty to make it easy for taxpayers to comply with their legal obligations.

’’At the same time, Sars has sharpened its capacity to detect non-compliance and make it costly for all taxpayers, including employers, that are not paying the taxes due to Sars,’’ it said.

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