In response to Finance Minister Tito Mboweni‘s emergency budget, SARS says it will focus on collecting outstanding debt from non-compliant individuals and companies.
Commissioner Edward Kieswetter said the latest update is that SARS is R54-billion behind their tax collection target for this year.
Kieswetter said three major contributing factors have led to the reduction in revenue, namely, the job market, general economic activity, and income tax.
The SARS commissioner said almost R13-billion has been lost as employment taxes have decreased with the contracting job market.
Another major loss of income is from the reduction in economic activity caused by the lockdown and also global trade restrictions.
Kieswetter said there is an expectation that income tax will decrease as over 400 businesses have filed for liquidation and 93 businesses have filed for business rescue.
In other news – Happy birthday Bonang Matheba #33YearsOfBonang