{"id":854200,"date":"2026-03-17T16:30:00","date_gmt":"2026-03-17T14:30:00","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=854200"},"modified":"2026-03-17T16:16:32","modified_gmt":"2026-03-17T14:16:32","slug":"sars-is-coming-hard-after-government-departments-in-south-africa","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/government\/854200\/sars-is-coming-hard-after-government-departments-in-south-africa\/","title":{"rendered":"SARS is coming hard after government officials in South Africa"},"content":{"rendered":"\n

The South African Revenue Service (SARS) says it is ramping up efforts to disrupt the illicit economy in the country, specifically targeting corruption in government departments\u2014including among its own officials.<\/p>\n\n\n\n

The group said it is committed to “eradicating all forms of corruption, collusion, and criminal subversion of customs and tax processes, internally and externally”. <\/p>\n\n\n\n

However, its Illicit Economy Strategy specifically prioritises corruption and fraud within government departments, it said, adding that search-and-seizure operations are already underway.<\/p>\n\n\n\n

“SARS has been investigating allegations that customs-inspection teams colluded with clearing agents and importers to manipulate physical inspections in exchange for cash bribes. <\/p>\n\n\n\n

“Financial analysis identified under-declared taxable income exceeding R45 million, resulting in income tax prejudice of about R18 million.” <\/p>\n\n\n\n

To disrupt this scheme, SARS has executed search-and-seizure and preservation orders against SARS officials and related parties to secure evidence and assets.<\/p>\n\n\n\n

The latest actions taken by SARS relate to six current and former SARS employees, as well as related taxpayers and traders. <\/p>\n\n\n\n

The persons in question are alleged to have failed to comply with their statutory obligations as taxpayers by participating in a corrupt scheme.<\/p>\n\n\n\n

According to SARS Commissioner Edward Kieswetter, the latest enforcement action is part of concerted efforts to enforce compliance without fear, favour or prejudice. <\/p>\n\n\n\n

\u201cThose who choose to abuse this mandate, whether from within SARS or from outside, have committed a crime and must face the consequences,” he said.<\/p>\n\n\n\n

Kieswetter said that SARS places trust in the officials who serve at the frontline of collecting revenue due and protecting legitimate trade. <\/p>\n\n\n\n

“This responsibility demands conduct beyond reproach and unquestionable integrity. Any deviation from this standard undermines the state and places the organisation into disrepute,” he said.<\/p>\n\n\n\n

\u201cWe cannot tolerate any acts of corruption. This is a red line that no one must cross, and no position inside or outside SARS places anyone above the law.”<\/p>\n\n\n\n

Government officials in the crosshairs<\/h2>\n\n\n\n
\"\"<\/a>
SARS commissioner, Edward Kieswetter<\/figcaption><\/figure>\n\n\n\n

To give full effect to the National Illicit Economy Disruption Programme, SARS will work with SAPS and the NPA to yield successful criminal investigations and prosecutions. <\/p>\n\n\n\n

“South Africans can expect more in this regard soon,” the revenue service said.<\/p>\n\n\n\n

SARS said that, wherever evidence points to criminality, the taxman will detect and pursue it, disrupt the scheme, and recover what is owed to the fiscus.<\/p>\n\n\n\n

It added that SARS will hold all criminally involved individuals accountable, no matter the complexity or time required to do so.<\/p>\n\n\n\n

“Most SARS employees, traders, and taxpayers act honestly and comply with the law,” Kieswetter said.<\/p>\n\n\n\n

“These recent enforcement actions were taken to protect them, preserve fair competition, and ensure that revenue intended for the public good is not siphoned away through corruption.”<\/p>\n\n\n\n

However, despite the revenue service’s lofty promises, reining in the illicit economy remains a tough ask.<\/p>\n\n\n\n

By its own admission\u2014in presentations on the Tobacco Products and Electronic Delivery Systems Control Bill<\/strong><\/a>\u2014the illicit tobacco trade alone has proven to be a behemoth.<\/p>\n\n\n\n

Citing three research papers, the revenue service pointed to the illicit tobacco industry in South Africa accounting for 60% to 75% of the entire sector, with tax losses of R51 billion to R84 billion.<\/p>\n\n\n\n

As a result, the sector is now flooded with crime cartels, syndicates and gangs\u2014including foreign operations\u2014spilling into other illicit markets.<\/p>\n\n\n\n

Critics, such as the Free Market Foundation, have argued that government policy, higher taxes, and new measures being punted by the Department of Health will exacerbate the issue.<\/p>\n\n\n\n

SARS is aiming for greater and harsher enforcement to be the deterrent the country needs.<\/p>\n\n\n\n

SARS asked members of the public and industry to report suspected bribery, fraud, or customs irregularities through established channels.<\/p>\n","protected":false},"excerpt":{"rendered":"

SARS says it is ramping up efforts to disrupt the illicit economy in the country, specifically targeting corruption in government departments\u2014including among its own officials.<\/p>\n","protected":false},"author":10,"featured_media":756773,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23],"tags":[3246],"class_list":["post-854200","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-government","tag-sars"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/854200","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=854200"}],"version-history":[{"count":5,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/854200\/revisions"}],"predecessor-version":[{"id":854214,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/854200\/revisions\/854214"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/756773"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=854200"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=854200"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=854200"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}