Despite constructive regulatory changes in the tax administration environment, there are concerns about the lack of cost effective remedies for taxpayers in cases where the South African Revenue Service (Sars) fails to comply with its obligations.
Dr Beric Croome, tax executive at Edward Nathan Sonnenbergs, says the new Tax Administration Act (TAA) that came into effect in October last year, has brought together administrative provisions that were previously scattered in different fiscal statues.
Although taxpayers' rights have not been extended under the new Act, the changes aim to ensure that the provisions are in line with the rights awarded to individuals and businesses in the Bill of Rights in the Constitution.
Section 240A of the Tax Administration Act, 2011 (as amended) requires that all tax practitioners register with a recognized controlling body before 1 July 2013. It is a criminal offense to not register with both a recognized controlling body and SARS.