ADDRESSING THE NATION BY FIONA WAKELIN
Addressing the Nation:
"SARS is taking the wind out of the sails of tax dodgers"
I
n his first letter to the nation for the month of April, His Excellency, Cyril Ramaphosa focused on the country’s improved tax revenue which is supporting South Africa’s economic recovery and growth.
“Last week, the South African Revenue Service (SARS) announced in its preliminary tax revenue collection outcome that it had collected over R1.5-trillion between April 2021 and March 2022. This a 25% improvement over the previous year and a 15% increase over the last year prior to the COVID pandemic. “Over the same period, SARS also paid out its highest amount in tax refunds since it was established 25 years ago. “A competent tax revenue collection agency is at the heart of building a capable state. “Tax revenue propels our nation’s development. The money collected by SARS finances service delivery and infrastructure. Through the R17.8-trillion that SARS has collected since its establishment in 1997, we have been able to build more social infrastructure like clinics, schools and hospitals, upgrade and build new roads, and support society’s most vulnerable through social grants and other measures,” – President Ramaphosa. His Excellency recalls that restoring stability and credibility in the South African Revenue Service was among his top priorities when he was elected President in 2018. Four years ago, SARS was reflecting on the consequences of state capture and as a result this undermined not only taxpayers’ morale but also business confidence. One of our President’s first steps in this regard was to appoint a commission of inquiry into tax administration and governance, chaired by retired Justice Robert Nugent. By the end of 2018 the commission had delivered its final report. In 2022, four years later, SARS has implemented nearly all the
10 | Public Sector Leaders | April 2022
