The new service accepting small business tax return online is proving very popular with South African small business owners.

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Within five days of going live, more than 4 000 taxpayers have registered to submit their tax returns online.

Briefing the media on Monday, South African Revenue Service commissioner Pravin Gordhan said the new system was becoming popular, as 314 tax returns had already been submitted on the Internet.

He said the motivation for the new system was that if Sars made it easier for taxpayers and intermediaries to deal with the returns, they would pay tax more readily.

Sars explained that the online system also made it easier for refunds to be paid out faster than more traditional methods allowed for.

Commenting on the Small Business Amnesty process, Gordhan said negotiations with affected businesses were still under way regarding the need for stricter rules.

"We have concentrated on getting the enabling legal framework in place and, most importantly, engaging with and listening to small business, including the taxi industry, and consulting with them on the envisaged legislation."

He said the process had highlighted a great need for taxpayer education, but at the same time recognised that the Receiver was also not understanding the taxpayer properly.

As a government institution, he noted, Sars was still not dealing with all South Africans everywhere equally.

"The protection of the tax base is a matter of fundamental fairness. It is also an essential element in achieving fiscal independence," said Gordhan.

On customs matters, Gordhan said Sars would soon be releasing a green paper on a new customs policy designed to overhaul the existing one.

"... there are new dangers facing South Africa in the form of illegal trafficking of prohibited goods; international crime; smuggling of cigarettes, drugs, counterfeit goods and other commodities; and money laundering," he said.

The new policy would help South African exporters and importers to engage in international trade and help grow the economy with greater ease and better security.

Discussing the exchange control amnesty process, National Treasury director-general Lesetja Kganyago said R68,6-billion worth of assets had been declared and R2,9-billion already raised through levies.

"I never believed that we had so many rich South Africans. This is testimony to the fact that the country is actually doing very well."


Boyd Webb
The Star
http://www.iol.co.za/