South African Revenue Service
The South African Revenue Service (SARS) is South Africa’s tax collecting authority.
Established under the SARS Act as an autonomous agency, SARS is responsible for
administering the South African tax system and customs service.
SARS’s responsibilities are to –
• collect and administer all national taxes, duties and levies;
• collect revenue that may be imposed under any other legislation as agreed to between
SARS and a state entity entitled to the revenue;
• provide a customs service which facilitates legitimate trade, maximises revenue
collection and protects South Africa’s borders from illegal importation and exportation
of goods; and
• advise the Minister of Finance on all revenue matters.
The SARS Act makes provision for –
• the efficient and effective administration of the revenue collecting system of
South Africa;
• reorganising the SARS;
• establishing an Advisory Board; and
• providing for incidental matters.
1.2 Secrecy and confidentiality
In Chapter 6 of the TA Act provision is made for the confidentiality of information by current or
former SARS officials because of the performance of their duties, except under specified
circumstances. For example, information that a serious offence has been or may be committed
or information of an imminent and serious public safety or environmental risk may be shared
with certain organs of state. Such disclosure, however, may only be made under an order
issued by a judge in chambers.
The purpose of the secrecy provisions is to encourage taxpayers to make full disclosure of
their financial affairs, thereby maximising tax compliance while having the peace of mind that
their information will remain confidential. A taxpayer may agree to dispense with the secrecy
provisions if so desired.