Capitec has warned that should the SA Revenue Service (Sars) have its way in their VAT dispute (, it will lead to credit becoming more expensive not only for its 20-million customers but the whole banking sector.

The bank, a dominant player in the unsecured credit market, says in court papers before the Constitutional Court, seen by Business Day, that the Sars decision to reject its R72m VAT deductions on loan insurance payments, which the bank received to protect it against default by retrenched or dead clients, will have far-reaching effects on the industry...

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.

Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.