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New SARS Commissioner appointed

Thursday, 25 September 2014   (0 Comments)
Posted by: Author: Ingé Lamprecht
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Author: Ingé Lamprecht (Moneyweb)

President Jacob Zuma has appointed a former National Commissioner at the Department of Correctional Services, Tom Moyane, as the new Commissioner of the South African Revenue Service (SARS).

Moyane, who is fairly unknown in tax circles, will take up the position on September 27.

According to a statement issued by the presidency on Tuesday, Moyane, a development economist, recently served as the advisor on turnaround and security strategies at the State Information Technology Agency (Sita).

His appointment comes as a surprise.

Dr Beric Croome, tax executive at ENSafrica, says many tax professionals were expecting someone from within Sars to be appointed to the position.

However, in terms of the SARS Act it is the prerogative of the president to make the appointment. Although the president is not legally required to consult with the Minister of Finance, he would probably do so, Croome says.

Industry commentators are not concerned about Moyane’s lack of tax experience.

Croome says when former Sars Commissioner Pravin Gordhan was appointed he did not have a tax background either, but he excelled in the role.

"What is critical is that the Commissioner has the staff underneath him who are the specialists on fiscal legislation.

”What is needed to steer this important organisation is a good administrator, Croome says.

Stiaan Klue, chief executive officer of the South African Institute of Tax Professionals (SAIT), says his appointment is a positive development.

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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.

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