THE South African Revenue Services’s (SARS’s) R1.175-trillion revenue target is at risk due to SA’s weak economic performance, SARS commissioner Tom Moyane says.Moyane was speaking at Tax Indaba 2016 in Midrand on Monday, where the Treasury’s head of the budget office, Michael Sachs, also focused on the outlook for the economy and the dilemmas this posed for fiscal policy.This year’s growth forecast, which the Treasury had at 0.9% in the February budget, will clearly have to be revised down when the medium-term budget is presented in October, with the International Monetary Fund having cut its forecast to 0.1%.Sachs noted that SA’s average economic growth rate had fallen from 4.3% in the period 2000 to 2007 to 2.1% in the period 2010-2016 and that the fiscal programme set out three years ago had been undermined by continued reductions in the growth outlook.Though growth in tax revenue had outperformed economic growth since the global financial crisis, the factors that had driven thi...
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