DAVIS COMMITTEE
SA needs variation to ‘pay now, argue later’ in tax disputes
The Davis tax committee is of the view that the ‘pay now, argue later’ principle is being applied by SARS savagely
The Davis tax committee, which was established to make nonbinding proposals on tax reform to the National Treasury, recently concluded its work. In one of its reports on tax administration, the committee suggests a taxpayer bill of rights with effect. The bill would also confer enforceable rights on taxpayers, to improve interactions with the South African Revenue Service (SARS) and make SARS responsible in its dealings with taxpayers. Interestingly, one of the rights suggested is the right not to pay disputed tax amounts before the taxpayer has had an impartial review of the dispute, which the committee suggests is not compatible with the "pay now, argue later" principle. The committee is of the view that the "pay now, argue later" principle is being applied by SARS savagely, despite its constitutionality not having been tested and the probability that it is an infringement of the right of property enshrined in the Constitution. The committee also notes that the principle creates a...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.