ECONOMIC WEEK AHEAD: Sars revenue figures in the spotlight
Economists will pay close attention to the preliminary figures released by the tax agency, with an expected shortfall of R42.8bn
Economists will pay close attention to the preliminary tax revenue figures released by the SA Revenue Service (Sars) on Monday. The release will likely be acting commissioner Mark Kingon’s swansong before Edward Kieswetter takes the helm. Though the revenue agency is targeting R1.3-trillion, the Treasury said in the budget policy review in February it expects Sars revenue figures to show a shortfall of R42.8bn. Revenue collection has fallen short of budget targets over the past four fiscal years, with 2017’s shortfall amounting to R48.2bn. Economic weakness has reduced personal income tax and corporate income tax receipts in the past year, but administrative weakness in collection was a contributing factor, said the Treasury. The revenue service has been working to restore its credibility but tax morality continues to remain low. Revenue collection is driven by the state of the economy, fiscal policy and administrative efficiency, but under former Sars commissioner Tom Moyane, who w...
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