SARS to gather R500m from simply 25 life-style audits
Within the yr to March 2022, the South African Income Service (SARS) accomplished 25 life-style audits, which flagged about R474 million in unpaid tax and different tax money owed.
A SARS spokesperson informed Fin24 on Friday that the organisation is at the moment following up with the taxpayers to gather the cash.
SARS first launched life-style audits in 2007, however has previously yr ramped up its scrutiny of rich South Africans.
It established a Excessive Internet Wealth Unit final yr, which has despatched out pre-audit questionnaires to many rich South Africans.
In response to one tax advisor, the questionnaires even embody questions on how a lot they spend on particular groceries, like meat and greens.
SARS cross checks the solutions from these questionnaires with different data. SARS has the facility to assessment sources just like the nationwide administration visitors data system (NaTIS) to determine the house owners of recent costly vehicles, in addition to property registries, to search out out who has been shopping for dear houses.
Whereas SARS doesn’t give a lot details about how potential suspects are recognized, South Africans are inspired to alert it if they believe that a person resides above their means illegally, and never declaring a few of their revenue to tax.
The place somebody has not declared tax, SARS can cost as much as a further tax of as much as 200% of the tax due on undisclosed revenue, plus curiosity. It could additionally refer the particular person to the Nationwide Prosecuting Authority for investigation.
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