President Cyril Ramaphosa’s decision to suspend Tom Moyane as SARS Commissioner is long overdue given the destruction of the reputation of SARS whilst under his leadership.
Mr Moyane’s mismanagement of the tax authority led to a severe decline in taxpayer morality and has thus contributed towards the decline in tax revenue collections.
While the DA welcomes the resignation of Jonas Makwakwa, the SARS manager Corporate and Individual tax, and the suspension of Tom Moyane, we believe that more should be done to restore the integrity of SARS.
The DA will push for the full implementation of the recommendations of the Davis Committee as they relate to the appointment of the SARS Commissioner and the creation of a SARS Advisory Board.
The next SARS Commissioner must be an individual with a proven track record in tax administration and financial management. Their immediate task will be to oversee a restoration of taxpayer morality and improvement in tax revenue collections.
Most importantly, the new SARS Commissioner must take urgent steps to investigate the circumstances surrounding the management of SARS, namely:
• the suspicious Makwakwa transactions identified by the FIC
• special treatment given to Gupta companies on the R70 million VAT refund
• the assessment of tax payable by former President Jacob Zuma must be fully and independently investigated
The DA looks forward to a full implementation of a turnaround strategy at SARS, spearheaded by a qualified Commissioner.