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Article

3 Jun 2015

Author:
Linda Ensor, Business Day (So. Africa)

So. African revenue service to employ more tax specialists to tackle tax evasion

'SARS to employ more tax specialists to deal with base erosion, profit shifting', 3 Jun 2015: The South African Revenue Service (SARS ) is to significantly beef up its capacity to deal with base erosion and profit shifting…SARS commissioner Tom Moyane said…24 more tax specialists would be employed in the transfer pricing unit of its large business centre. The move follows...concern[s] raised by Judge Dennis Davis and parliamentary committees about the woeful lack of capacity in SARS to deal effectively with the illegitimate shifting of profits to low tax jurisdictions through transfer pricing. The issue is one of concern to governments globally and this has brought the activities of multinationals such as Google, Starbucks and Amazon into the spotlight. The sums leaving SA illegally are unknown but estimated at billions of rand…Mr Moyane…[said]  a…think tank had been established to deal with…tax avoidance, the illicit economy and a host of other activities aimed at evading the payment of tax…