The ANC didn't evade tax, it just has cash-flow problems, says Mashatile

Speaking to Clement Manyathela Show, Paul Mashatile claimed that this was not new information and that the party had been taking steps with SARS to ensure that their debt was paid.

FILE: Mashatile claimed that shortly after gaining his position he put work into fixing the tax situation within the party but adamantly denies that there was tax evasion. Picture: Kayleen Morgan/EWN.

JOHANNESBURG - ANC Treasurer General Paul Mashatile has denied that the ruling party evaded paying taxes and claimed that it wasn't bankrupt - it only had occasional cash flow problems.

A report suggested that the South African Revenue Service (Sars) had given the ANC a bill for over R100 million in unpaid taxes.

Mashatile claimed that this was not new information and that the party had been taking steps with Sars to ensure that their debt was paid with the most recent payment being 28 February this year.

Speaking to Clement Manyathela Show on Tuesday Mashatile explained, "There were challenges in the past as prior to 2018, we came in as this new leadership, we found a situation where tax compliance was not very rigorous, as a result the organisation was in serious arrears.”

While Mashatile acknowledged that the party was in serious arrears, he did not want to assign blame to specific party members and claimed the fact that authorities were not rigorous in ensuring compliance had led to the tax situation within the party being lax.

Mashatile claimed that shortly after gaining his position he put work into fixing the situation but adamantly denied that there was tax evasion.

“When I came in as treasurer general in 2017 one of the things I did was go to Sars and ensure that the ANC was tax compliant until date… Even at the time they did not evade tax, they were in arrears, which I went to sort out.”

The treasurer-general did not reveal the amount that was owed to Sars, stating that this was a private matter between them and the revenue service.

For the full interview, listen below: