SARS says it's too soon to claim victory after increase in tax collection
On Tuesday, the tax agency announced it had collected more than R1.85 trillion in taxes in the 2024/25 financial year, outperforming its previous estimates.
FILE: SARS Commissioner Edward Kieswetter. Picture: Phando Jikelo/Parliament
JOHANNESBURG - The South African Revenue Service (SARS) said it was too soon to claim victory following an increase in tax collection, despite beating expectations.
On Tuesday, the tax agency announced it had collected more than R1.85 trillion in taxes in the 2024/25 financial year, outperforming its previous estimates.
A jump in personal income tax handed SARS its largest cheque for the year under review.
SARS said the latest results showed an increase in public trust, with confidence in the tax agency an underrated but important element of tax collection.
The tax agency’s voluntary compliance index also increased from 62% in 2019 to 66% this year.
While the increased trust and efficiency on the part of SARS has yielded better than expected outcomes, Commissioner Edward Kieswetter said there was still some room for improvement.
"We do not declare victory; funding challenges remain. It is also why we make the continued plea for continued investment in SARS."
In budget 2.0, National Treasury allocated SARS an additional R7.5 billion in funding to help with debt reduction and modernise its systems.
Kieswetter has been advocating for the tax authority to be better capacitated, hoping it can clamp down on tax evaders and collect unpaid taxes.
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