Today, the South African Revenue Service and Mr. Irvin Khoza signed an agreement bringing to closure the SARS investigation into the tax affairs of Mr. Irvin Khoza. Both parties have deemed it necessary to inform the South African public of this important milestone.
The SARS and Mr Khoza have spent the past year reconstructing Mr Khozas financials from records available and bringing his financial affairs into order, so that Mr Khoza's tax liability could be determined.
The first phase of this investigation entailed the separating of the personal financial affairs of Mr Khoza from that of the other entities that he has been involved in - namely the Orlando Pirates Football Club, the Players Management Company, the World Cup Bid Company and other smaller entities. This separation of liability was essential for the establishment of Mr Khoza's personal liability.
Mr Khoza has accepted personal tax liability for an income tax assessment for the periods 1984 to 2000 in the amount of R10 342 631.00. An amount of R3 126 475.00 has already been recovered leaving an outstanding balance of R7 216 156. 00 -which amount includes capital, interest and penalties. This outstanding amount and its payment form the basis of the agreement signed today.
SARS welcomes Mr Khoza's agreement to fulfil his tax liability and the constructive spirit and full cooperation which he displayed to conclude this agreement. He has agreed to continue to cooperate with SARS in its further investigation as to the entities outlined above.
Mr Khoza affirms the importance of complying with the tax laws of South Africa and the need for all South Africans to pay the taxes due to the State. For further details, contact:
Fani Zulu, Assistant General Manager: Communications
SARS
082 451 0457
Stan Fanaroff
Ivrin Khozas Legal Representative
082 809 9990