The South African Revenue Service paid R8.5 million in restraint-of-trade settlements to three former executives who left during the furore over the “rogue” spy unit.
Former deputy commissioner Ivan Pillay was paid R3.9 million and for group executive for strategic planning Peter Richter R3.77 million.
They were implicated in the setting up of the investigative unit‚ suspended in December 2014 and resigned in May last year after a long disciplinary inquiry. Terms of their packages were not disclosed at the time.
The annual report of the tax authority tabled in Parliament on Wednesday revealed that an additional R858 723 was paid in a six-month restraint-of-trade settlement with former head of tax and customs enforcement Gene Ravele‚ who resigned in May 2015 ahead of a threatened suspension‚ also related to the investigative unit.
In his foreword to the report‚ Finance Minister Pravin Gordhan noted that Sars as an institution was very respected‚ but this could not be taken for granted.
“The public and various stakeholders are today fast losing trust in government and the private sector elite‚” the minister said.
“Leaders of institutions need to be extraordinarily careful not to compromise the good standing and integrity of institutions in the pursuit of mistaken aims.”
There was a danger that taxpayers would refuse to pay their dues‚ the minister said.
Gordhan stressed that Sars had to demonstrate the highest level of integrity‚ ethical leadership and visible fairness to sustain public confidence in its work.
Sars commissioner Tom Moyane‚ who has butted heads with Gordhan since his appointment‚ expressed appreciation in his statement to Gordhan for his leadership and invaluable support.
“The support and strong working relationship between Sars and the National Treasury is also crucial — long may this continue!“
The annual report showed that Sars had outstanding debt of R96.4 billion at its March year-end‚ with R66.6 billion of this established debt and R29.7 billion uncertain.
Of the outstanding debt‚ R25 billion was due by companies‚ R17 billion by individuals‚ R29 billion by VAT vendors and R8 billion for pay as year earn.
It noted that last year it had completed eight transfer-pricing audits raising R791 million in taxes. Altogether 81 audits of high net worth individuals were conducted yielding additional tax revenue of R225 million.
Under the voluntary disclosure programme‚ 1 946 new applications were received and R2.2 billion was paid.
Sars was concerned about the low level of tax compliance in the construction industry. — TMG Digital/BDlive
Sars spy-unit trio get paid R8.5m in restraint-of-trade agreements
The South African Revenue Service paid R8.5 million in restraint-of-trade settlements to three former executives who left during the furore over the “rogue” spy unit.
Former deputy commissioner Ivan Pillay was paid R3.9 million and for group executive for strategic planning Peter Richter R3.77 million.
They were implicated in the setting up of the investigative unit‚ suspended in December 2014 and resigned in May last year after a long disciplinary inquiry. Terms of their packages were not disclosed at the time.
The annual report of the tax authority tabled in Parliament on Wednesday revealed that an additional R858 723 was paid in a six-month restraint-of-trade settlement with former head of tax and customs enforcement Gene Ravele‚ who resigned in May 2015 ahead of a threatened suspension‚ also related to the investigative unit.
In his foreword to the report‚ Finance Minister Pravin Gordhan noted that Sars as an institution was very respected‚ but this could not be taken for granted.
“The public and various stakeholders are today fast losing trust in government and the private sector elite‚” the minister said.
“Leaders of institutions need to be extraordinarily careful not to compromise the good standing and integrity of institutions in the pursuit of mistaken aims.”
There was a danger that taxpayers would refuse to pay their dues‚ the minister said.
Gordhan stressed that Sars had to demonstrate the highest level of integrity‚ ethical leadership and visible fairness to sustain public confidence in its work.
Sars commissioner Tom Moyane‚ who has butted heads with Gordhan since his appointment‚ expressed appreciation in his statement to Gordhan for his leadership and invaluable support.
“The support and strong working relationship between Sars and the National Treasury is also crucial — long may this continue!“
The annual report showed that Sars had outstanding debt of R96.4 billion at its March year-end‚ with R66.6 billion of this established debt and R29.7 billion uncertain.
Of the outstanding debt‚ R25 billion was due by companies‚ R17 billion by individuals‚ R29 billion by VAT vendors and R8 billion for pay as year earn.
It noted that last year it had completed eight transfer-pricing audits raising R791 million in taxes. Altogether 81 audits of high net worth individuals were conducted yielding additional tax revenue of R225 million.
Under the voluntary disclosure programme‚ 1 946 new applications were received and R2.2 billion was paid.
Sars was concerned about the low level of tax compliance in the construction industry. — TMG Digital/BDlive
Would you like to comment on this article?
Register (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Trending
Latest Videos