Cape Town - The South African Revenue Service (SARS) moved to reassure all taxpayers that it does not discuss or divulge taxpayer information.
The revenue agency was responding to an article published on Sunday by City Press. It reported that SARS Commissioner Tom Moyane stepped in to ensure that a R70m value-added tax (VAT) refund to Oakbay Investments, owned by the Gupta family, was paid out in a transaction that insiders say was far from regular.
The payment went through after various legal consultations caused by the closure of the Guptas’ bank accounts. The family allegedly wanted the money to be paid into an overseas bank account or into the trust account of a lawyer.
VAT refunds are normally only paid into a taxpayer’s account, and not into the account of any proxy, according to SARS insiders.
"SARS would like to place on record that assessments and refunds are dealt with through a risk engine that utilises tightly governed rules and processes, to ensure impartiality in SARS dealings with taxpayers."
SARS also expressed its concern about the persistent media reporting of taxpayer matters.
"SARS once again reiterates that SARS is not allowed by Chapter 6 of the Tax Administration Act (TAA), 2011 to discuss or divulge information on individual taxpayers’ tax affairs.
"This right to confidentiality applies to all taxpayers irrespective of one's position, rank or status," it said.
"We call on all South Africans, including the media to respect the confidentiality clause of Chapter 6 of the TAA 2011 to keep all taxpayers information private as prescribed by this Act."
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