19/05/2026
๐ช๐ต๐ ๐ฆ๐๐ฅ๐ฆ ๐ถ๐ ๐ถ๐ป๐ฐ๐ฟ๐ฒ๐ฎ๐๐ถ๐ป๐ด ๐ถ๐๐ ๐ณ๐ผ๐ฐ๐๐ ๐ผ๐ป ๐๐ฟ๐๐๐๐
SA relies on a narrow tax base, with only 13.2% of the Personal Income Tax population producing more than 50% of SA's total tax collections. Not sustainable!
๐๐ต๐ฎ๐น๐น๐ฒ๐ป๐ด๐ฒ:
This presents a concentration risk for SARS. They cannot squeeze more tax from a stagnant tax base, with many people not even paying tax as they fall below the tax threshold.
SARS's focus (as continued by SARS's new Commissioner, Dr Johnstone Makhubu): To broaden the tax base and zoom in on provisional taxpayers, especially those who use trusts and receive income. It will be done by focusing on non-compliance. The recent introduction of penalties for non-compliance demonstrates SARS's plan.
๐ง๐ต๐ฒ ๐ฟ๐ถ๐๐ธ ๐ณ๐ผ๐ฟ ๐๐ฟ๐๐๐๐ฒ๐ฒ๐:
SARS is working with other government agencies to exchange data and is tracking transactions and bank accounts as they interact within the financial system. According to Makhubu, "Data is the lifeblood of a tax administration, and we want to use data to zone into trusts and ensure they are as compliant as they can be". He added that "if compliance still does not come through, then we have to responsibly enforce, and we do intend to heighten our integrated enforcement going forward".
๐๐ค๐ง ๐ฉ๐ง๐ช๐จ๐ฉ ๐ฉ๐๐ญ ๐๐ค๐ข๐ฅ๐ก๐๐๐ฃ๐๐ ๐จ๐ช๐ฅ๐ฅ๐ค๐ง๐ฉ, ๐๐ค๐ฃ๐ฉ๐๐๐ฉ ๐๐ฝ๐ ๐พ๐๐๐ง๐ฉ๐๐ง๐๐ ๐ผ๐๐๐ค๐ช๐ฃ๐ฉ๐๐ฃ๐ฉ๐จ.
๐ +27 13 752 6280 โ [email protected] ๐ www.pbsca.co.za