Moyane to lead SARS through economic headwinds - CNBC Africa

Moyane to lead SARS through economic headwinds

Southern Africa

by Trust Matsilele 0

Minister says the incoming SARS commissioner is the right choice at the right time. PHOTOS: GCIS/Stb.s

The outgoing and acting commissioner of the South African Revenue Service (SARS) Ivan Pillay told CNBC Africa that he welcomed the appointment of Moyane as this ended 14 months of uncertainty in the organisation.

(READ MORE: Thomas Moyane appointed S.Africa’s new taxman)

“During this period of uncertainty, we still managed to meet our targets in the past year. We have shown resilience and managed to negotiate a difficult terrain,” said Pillay.

“The organisation’s 15,000 staff members have done a good job and will continue to make this organisation one of the greatest in the country.”

He however warned that the new commissioner was coming at a time when the economy had marginally escaped a recession.

“Our country has been facing pressure as far as economic growth is concerned. Slow economic growth puts pressure on revenue collection as many people find it easy to default. In bad season the first thing that people forgo is tax payment,” added Pillay.

Finance Minister Nhlanhla Nene took time to praise the acting commissioner for leading the institution in the past 14 months as it was a critical pillar of the economy.

“SARS is a crucial fiscal institution in our democracy as it has contributed to South Africa’s social and economic development of our county,” said Nene.

(WATCH VIDEO: SARS targets trusts, compliance and business)

“The institution has performed well in raising revenue and ensuring fiscal autonomy. Without a credible SARS we cannot make progress in our development agenda.”

Nene said, Moyane had been appointed on a term of five years which was renewable while addressing media on Thursday.

“Moyane is expected to retain the trust that South Africans have bestowed on the institution,” he said while adding that Moyane was the right choice at the right time.

“We had a solid institution that was functional which did not call for rushed decisions,” said Nene.

Nene also dismissed critics who have been questioning Moyane’s credentials and limited tax experience saying there is nothing out of the ordinary in the appointment of Moyane.

The newly appointed Moyane told the media that he was looking forward to working with the entire team and the deputy commissioner who has done a sterling job in his acting capacity.

“I intend to build on the trust which this institution is angered upon and I also hope to make a small but positive contribution,” said Moyane.

The commissioner also took time to warn tax evaders saying he is will be knocking on the doors of tax payers to ensure they comply.

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