SOUTH AFRICAN REVENUE SERVICE
MEDIA RELEASE NUMBER 28 OF 2001

25 JUNE 2001

SARS AND SECTION 4 OF THE INCOME TAX ACT

The South African Revenue Service (SARS) announces that it cannot confirm or deny the identity of persons or companies currently being investigated by the entity because Section 4 of the Income Tax Act prevents us from doing so. The Act aims to: "ensure that secrecy is rigorously maintained about the details of a taxpayer's affairs - so [as] to encourage him to be truthful in reporting those details" to the SARS.

In addition, the SARS: "may not communicate any such matter to any person other than the taxpayer concerned or his lawful representative."

The SARS conducts periodic inquiries as part of its day-to-day business. This forms part of a focused and customs and tax campaigns aimed at increasing the levels of compliance.

The spin-offs emanating from these initiatives have made significant contributions to the economy and have gone a long way towards relieving pressure from the fiscus thereby contributing towards building a better life for all our people.

Furthermore, the Management of SARS would like to assure all South Africans that we execute all our tasks with utmost integrity and always strive to be objective and treat all South Africans on an equal basis. We are therefore appealing to all South Africans to submit their income tax returns forms on or before July 25. Help us build a better nation.

ISSUED BY THE COMMISSIONER FOR THE SOUTH AFRICAN REVENUE SERVICE
PRETORIA



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