Tax administration

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As part of the Budget proposals in the 2013 budget ,the Minister has announced plans that South Africa will continue to work with both the Group of 20 in the OECD and to develop a BRICS mechanism to counter tax avoidance, the abuse of treaty benefits and fraudulent claims. SARS will continue to work toward stopping aggressive tax planning, and profit shifting as well as base erosion. 

As part of the tax administration process, the registration process for multiple tax types will be streamlined and simplified and the income tax form for small businesses will be simplified to allow for fewer fields to be completed/fewer disclosures to be made.

A new automated tax clearance system will be implemented later this year to ensure that taxpayers doing business with the government are fully compliant. This will impact companies tendering for government work as they will need to ensure that their taxes are fully up to date before they will be allowed to do business with government.  Companies receiving payments from the state on tenders will also need to ensure that they have fully disclosed all their taxes to SARS.