The diesel tax refund system and its administration is set for an overhaul to address anomalies in the system and to find more "equitable" rules and administrative procedures. National Treasury and the South African Revenue Service (SARS) recently published a discussion document on the refund system and how it might address concerns about the current system. One of the major criticisms has been the increasingly onerous compliance requirements to qualify for the refund. Treasury has also acknowledged that some eligible beneficiaries have been excluded from the system while others appear to be making disproportionate refund claims. According to the discussion document, electricity’s (Eskom’s) share of the diesel refunds increased from 3% in 2010-11 to 60% in 2015-16. The share going the country’s economic growth and employment drivers showed significant declines over the same period: agriculture, forestry and fishing received 11%, down from 46%; and mining and quarrying received 24%, ...

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