SARS has the responsibility of collecting R180 billion for the financial year ending 31 March 1999. Over the past years debt has accumulated to such an extent that extraordinary measures have had to be taken to ensure compliance with the tax laws of the country. Currently, amounts in the region of R15 billion are owing to SARS and it has therefore become necessary to review the collection strategy within the organisation. This amount is unacceptably high and it is with regret that SARS has had to take action in terms of the Income Tax Act to obtain information from Sanlam with the view of obtaining possession of the rights in such shares in order to collect amounts owing to SARS.
The legal process is under way to implement these measures and SARS will provide an opportunity to all persons who owe money to SARS to either pay these sums or arrive at an arrangement with their local Receivers of Revenue to negotiate payment.
ISSUED BY THE COMMISSIONER FOR THE SOUTH AFRICAN REVENUE SERVICE