SARS to introduce mechanism to reduce tax clearance fraud

Finance Minister Pravin Gordhan has announced that in a bid to reduce corruption in the tax clearance request process, the South African Revenue Service (SARS) has developed an electronic mechanism for taxpayers to provide real time, up-to-date and continuous tax status to interested parties.

“The use of a unique one-time access pin will significantly reduce the scope for fraud and abuse of paper-based tax clearance certificates,” said the minister, presenting his Medium Term Budget Policy Statement in the National Assembly.

He said these changes would be implemented at the start of the next financial year.

Tax clearance requests have increased to more than 600 000 a year. –