PSM April 2022

Page 16

A message from President Cyril Ramaphosa

Improved tax revenue

key institutions, SARS had suffered from the ill-effects of state capture, with political meddling, mismanagement and other factors seriously affecting

supports recovery and growth

its efficiency. This had the direct consequence of not only undermining taxpayer morality, but also loss of business confidence in the organisation. In 2018, I appointed a commission of inquiry into tax administration and governance at SARS chaired by retired Justice Robert Nugent. The commission delivered its final report by the end of the same year.

R

Four years later, SARS ecently, the South

lished 25 years ago.

has implemented nearly all

new roads, and support

of the 16 recommendations

collection agency is at the

society’s most vulnerable

and 27 sub-recommenda-

nounced in its preliminary

heart of building a capable

through social grants and

tions to restore stability to

tax revenue collection out-

state.

other measures.

the organisation.

African Revenue Service (SARS) an-

A competent tax revenue

tals, upgrade and build

SARS has driven a fo-

Tax revenue propels our

When tax revenue col-

over R1.5 trillion between

nation’s development. The

lection systems and their

cused turnaround strategy

April 2021 and March 2022.

money collected by SARS

supporting legislation are

to position itself at the

finances service delivery

efficient, uncomplicated

forefront of efficiency and

and infrastructure.

and equitable, it incentiv-

service excellence. It has a

ises greater compliance.

concerted programme to

Restoring stability and

promote tax morality and

come that it had collected

This a 25% improvement over the previous year and a 15% increase over

Through the R17.8 trillion

the last year prior to the

that SARS has collected

COVID-19 pandemic.

since its establishment

credibility in SARS was

compliance.

in 1997, we have been

among my foremost pri-

SARS also paid out its

able to build more social

orities when I was elected

modity prices, resulting

highest amount in tax

infrastructure like clin-

President in 2018.

in increased corporate

refunds since it was estab-

ics, schools and hospi-

Over the same period,

16

Like a number of other

Current high com-

income tax revenues, have

Public Sector Manager • April 2022

Photo by Isaac Smith on Unsplash

FROM THE UNION BUILDINGS


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