SARS raises concern as another tax practitioner is sentenced for VAT non-compliance

A Tax Practitioner has been sentenced to 24 months imprisonment suspended in full for three years for 48 VAT offences.

The non-compliance offences were committed while the Tax Practitioner was in charge of the tax affairs of a construction company.

The tax practitioner faced 24 charges for failing to disclose relevant material facts on the VAT 201 returns submitted to SARS. He submitted 24 nil VAT 201 returns to SARS without the consent of the client in order to obtain a Tax Clearance Certificate. As a result, the accused was also charged with 24 counts for acting without the client's consent and authority.

SARS Commissioner Edward Kieswetter noted the following in this regard:

"SARS will not tolerate non-compliance by taxpayers and tax practitioners. In fact, we hold practitioners to a higher standard, as important intermediaries in our quest towards voluntary compliance."

"Non-compliance not only reduces the revenue that SARS is able to collect but further erodes the culture of compliance. The reduced revenue collection means that basic services to the poor and vulnerable cannot be delivered, especially at a time of great need when Covid-19 still wreaks havoc on the economy."

"SARS continues to make it easy for taxpayers and practitioners to comply with their tax obligations and will continue to make it difficult and costly for those who wilfully do not comply."

The Commissioner specifically noted that taxpayers should be extremely careful about whom they appoint as tax practitioners and should check the registration status of a practitioner on the SARS website.

The media release can be accessed here

04/06/2021