Is SARS allowed to telephonically request for supporting documentation?
24 February 2015
Posted by: Author: SAIT Technical
Author: SAIT Technical
Q: SARS is currently
just issuing a general letter to taxpayers stating that the person has been
chosen for audit and will be contacted for supporting documents. Then they
phone and request specific documents that must be uploaded. The taxpayer wants
to see a SARS letter demanding the information.As I understand it, SARS is required to
issue a letter to the client and to specify the required documents that must be
submitted for audit and why. Am I correct?
A: The relevant provision dealing with this is section 46(1) of the Tax
Administration Act (the TAA):
Request for relevant material.—(1) SARS may,
for the purposes of the administration of a tax Act in relation to a taxpayer,
whether identified by name or otherwise objectively identifiable, require the
taxpayer or another person to, within a reasonable period, submit relevant
material (whether orally or in writing) that SARS requires.
provision unfortunately shows that SARS does not necessarily have to request
relevant material in writing.
agree with you that this creates various problems for taxpayers.
actually made a submission to National Treasury late last year addressing the
problems associated with requesting relevant material telephonically.
point number 1.4 of the document below for the submission made by SAIT.
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advice based on the facts and circumstances of each transaction/case. Even
though great care has been taken to ensure the accuracy of the answer, SAIT do
not accept any responsibility for consequences of decisions taken based on this
query and answer. It remains your own responsibility to consult the relevant
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