Ramaphosa hails SARS as standard bearer for capable State

President Cyril Ramaphosa lauded the South African Revenue Service (SARS) for being one of the state’s outstanding achievers.

Over the last financial year, SARS collected R2.3 trillion, the highest amount in its history.

Writing in his weekly newsletter, Ramaphosa said that in many ways, SARS was the standard-bearer for a capable state.

After years of corruption, political interference and leadership purges that led to a commission of inquiry in 2018, Ramaphosa said SARS had emerged as a credible blueprint for rebuilding institutional capacity following an era of state capture.

He said SARS had been a trailblazer in the use of technology to make it easier for taxpayers to meet their obligations.

The president said that given its achievements in recent years, it was unsurprising that SARS was regarded as one of the best tax authorities in the world.

Seven years since the Nugent Commission of Inquiry, nearly all its recommendations have now been implemented, including restoring capable leadership, compliance and enforcement capabilities.

“As a consequence, the tax authority has achieved a turnaround that has exceeded expectations,” wrote Ramaphosa.

The president said the rebuilding of SARS illustrated the value of commissions of inquiry.

He said the state would use SARS as an example of what could be done to restore institutional integrity in its efforts to build an ethical and capable state.

SARS is set to change leadership in April when the extended term of the current commissioner, Edward Kieswetter, ends.