Tag: Edward Kieswetter

In recent times, tax authority queries resulting in transfer pricing adjustments have increased significantly, both globally and in Africa. Often, the outcome of a transfer pricing benchmarking study is an arm’s length range rather than a specific margin or price, and the question arises as to which point within such a range is appropriate and therefore arm’s length?

When it comes to non-compliance, the South African Revenue Service (SARS) takes no prisoners, and has the full backing of the presidency, in its drive to stop tax evasion and other fraudulent activities related to the fiscus, with President Cyril Ramaphosa praising the revenue authority’s efforts in tackling tax dodgers and those benefitting from criminal proceeds.

In recent weeks we have seen first-hand the powers of SARS in holding taxpayers criminally liable where their tax affairs are not in order.

Cryptocurrency has heralded a new dawn of investment, and regulators worldwide have been sluggish to respond. However, it is now firmly on the tax radar for revenue authorities globally; and the South African Revenue Service (SARS) position seems to be no different.

SARS Commissioner, Edward Kieswetter, has used the South African Institute of Tax Professionals’ Tax Indaba as a platform to fire a shot across the bow, letting taxpayers know that non-compliance will be met with the full force of the National Prosecuting Authority (NPA).

In light of the recent announcement that the tax return threshold will be lifted from R350,000 to R500,000, it is crucial for South Africans to fully educate themselves on their filing obligations, or risk incurring possible fines by the South African Revenue service (SARS).