Tax target may be a bridge too far
Commissioner confident SARS can collect more than R1.265-trillion but experts raise doubts in face of recession and unemployment
The South African Revenue Service (SARS) is confident it will collect more than R1.265-trillion this tax season, but tax experts and the Treasury have cautioned that it is still early days and this might be an ambitious target given the economic climate. Commissioner Tom Moyane, who was speaking at the launch of tax season on Monday in Orlando, Soweto, said: "We have scanned the horizon and seen that companies are already shedding jobs.... But we are confident of reaching our target." During the February budget, the Treasury added a tax bracket of 45% for high-income earners, which is expected to add R4bn to revenue. However, the increase in unemployment, coupled with the recession, may limit revenue collection in 2017. Moyane said that more than 50,000 people had filed their tax returns in the 48 hours since the season opened. Finance Minister Malusi Gigaba, who was also in Orlando, said: "SA prides itself in the numbers of its people who contribute to revenue collection." Head of ...
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.