Taxpayers often find themselves caught in complex disputes due to administrative errors or delays by SARS in processing their objections. When these issues result in unfair financial burden, the Office of the Tax Ombud (OTO) serves as an independent mediator, ensuring that taxpayers are treated fairly. In this case, the OTO played a crucial role in […]
The South African Revenue Service’s (SARS) action of incorrectly invalidating objections is one of the issues raised and addressed in the Tax Ombud’s Systemic Investigation Report (2020), which concluded that there was a 31% error rate where objections were incorrectly invalidated for various reasons. The case below illustrates another instance of SARS incorrectly invalidating an objection.
The OTO does not only help speed up the resolution of taxpayer complaints and get the South African Revenue Service (SARS) to pay refunds due, however there are also instances where the OTO secures taxpayers thousands of rands in interest thereon. The case in this issue is an example.
Deregistering as a VAT vendor can be challenging, as the case below illustrates, where the South African Revenue Service (SARS) delayed deregistering a taxpayer’s VAT profile for over a year.
Many taxpayers are unaware that they have a right to approach the South African Revenue Service (SARS) and request remission of administrative penalties. Although SARS has many options for dealing with such requests, including allowing, partially allowing or disallowing requests, the revenue collector must respond within a reasonable time. The case below, a rare complaint […]
The Office of the Tax Ombud (OTO) does not often receive cases involving Turnover Tax Return (TT03) complaints against the South African Revenue Service (SARS) but ensures that when it does, such matters are efficiently dealt with. The case below, which helped secure a tax refund of over R24 000, illustrates the OTO’s commitment to […]
Delays in the payment of tax refunds continue to affect taxpayers. This is despite theTax Ombud identifying certain root causes of the delays as systemic issues – meaningproblems that are regarded as the underlying cause of a tax complaint that affects orwill affect a number of taxpayers.
The Office of the Tax Ombud (OTO) continues to receive many complaints about non-payment of refunds and delays in finalising disputes lodged. Not all complaints received within these categories are due to the South African Revenue Service (SARS) not adhering to timeframes, but rather to a lack of awareness among taxpayers about all the applicable […]
Delays in the payment of tax refunds are still the most frequent complaints lodgedwith the Office of the Tax Ombud. This is despite the OTO previously compiling ahard-hitting report on the issue, together with recommendations on how the SouthAfrican Revenue Service (SARS) could resolve the matter. Now the OTO has identifiedanother SARS practice that contributes […]
Some taxpayers may be under the impression that the Office of the Tax Ombud (OTO) onlyassists taxpayers with complaints against the South African Revenue Service (SARS) if there aretax refunds at stake. The case featured in this issue illustrates the OTO’s commitment to helpingresolve all complaints received, even those many taxpayers might consider insignificant.
In July 2022, SARS issued more than three million income tax auto-assessments to individual non-provisional taxpayers. It is crucial to understand that the process for dealing with auto-assessments is slightly different from when an income tax return is submitted manually. If the wrong procedure is followed, it could have serious consequences for taxpayers.
When a tax complaint deals with more than one issue, it may lead to confusion at the South African Revenue Service (SARS), as the case below shows.
The Office of the Tax Ombud is pleased to share the 17th issue of its monthly case study newsletter Fairness for All. The newsletter seeks to educate taxpayers about the types of taxpayer complaints lodged with the OTO and how these are resolved. In the current issue, we showcase one of the challenges taxpayers experience […]
In 2017 the OTO issued a report after finalising a systemic investigation into what caused delays in SARS paying refunds to taxpayers. One of the issues identified was that SARS delays the revision of assessments after disputes have been finalised. The primary issue noted by the Tax Ombud was that there is no prescribed timeframe […]
Taxpayers regularly experience challenges with IRP5 certificates, either with incorrect information reflecting on the certificates or not receiving the IRP5 certificates from their previous employers. It is important to note that the above issues should be directed to employers and not the South African Revenue Services (SARS). However, the case below, which can be taken […]
The OTO has discovered a previously unidentified issue relating to SARS repeatedly conducting verifications that could be contributing to delays in the revenue authority finalising assessments. This issue was found during an analysis the OTO has been conducting to determine possible root causes of certain delays in paying out refunds, specifically in cases where SARS […]
Before releasing tax refunds, SARS is by law allowed to conduct verifications when it identifiesrisks, but it is not common to do so multiple times for the same tax year and request the samedocuments.
The case below details how the Office of the Tax Ombud (OTO) assisted a taxpayer with a complaint where the South African Revenue Service (SARS) had failed to pay out the diesel refund in respect of the 04/2021 value added tax (VAT) period.
In the case below, both the taxpayer and SARS failed to follow the correct procedures, resulting in a cycle of invalidations of the taxpayer’s objection.
It sometimes happens that taxpayers and taxpayer representatives appeal a decision made by the Office of the Tax Ombud (OTO) regarding complaints lodged. When this happens, the matter is referred to the OTO’s Appeal Committee, chaired by the CEO of the Office, Professor Thabo Legwaila. The case below is an example of a tax complaint […]
The case below describes how SARS delayed payment of a refund to a taxpayer, even after it had allowed an objection to the assessment raised, by repeatedly paying the refund and then recalling it immediately from the taxpayer’s bank account.
We are in the middle of the tax season, with taxpayers filing their tax returns and some experiencing challenges with the revenue collector. One of these challenges involves SARS taking money from taxpayers’ bank accounts through a process called Third Party Appointment (TPA). In many instances, this process is done correctly, but there are also […]
The Tax Season is upon us, and as per tradition, the OTO expects an influx of complaints from taxpayers. Some of the issues might seem small but have serious financial implications for taxpayers. The case below involves SARS delaying finalising the verification of a VAT period which subsequently led to a delay in the verification […]
The Office of the Tax Ombud is committed to helping improve the country’s tax administration system by, among others, protecting taxpayers’ rights. But there are instances where the actions of tax complainants are questionable, and the Tax Ombud would rule in favour of the South African Revenue Service or reject a tax complaint outright. Remember, […]
In this issue we feature a critical intervention by the Office of the Tax Ombud that earned the Office a testimonial from a taxpayer. The intervention led to SARS paying the taxpayer R86 573.64 in VAT refunds, inclusive of interest. The OTO reiterates that while it will do everything possible to protect taxpayers’ rights, it […]
In this issue we discuss a critical intervention by the Office of the Tax Ombud that led to SARS refunding close to R196 000.00 to a taxpayer after the money was unfairly taken from its bank accounts. The Tax Ombud Judge Bernard Ngoepe always reiterates the importance of tax compliance and the rights of taxpayers […]
In the November edition of Fairness for All, we discussed a case where the Office of the Tax Ombud (OTO) highlighted SARS’s conduct in withholding refunds for periods not under verification or audit. In that case, SARS only instituted an audit when its action was challenged by the OTO. This delayed response was seen as […]
The Office of the Tax Ombud (OTO) is pleased to present to you the second issue of Fairness for all, the Office’s informative monthly newsletter, featuring important case studies. The current issue features a crucial case which saw highly questionable actions by the revenue collector, several contraventions of tax legislation, and a possible abuse of […]
Welcome to the first issue of Fairness for all, the Office of the Tax Ombud’s (OTO) informativemonthly newsletter, featuring important case studies.The publication will focus only on the tax complaints the OTO receives, how these complaintsare resolved, as well as the reasoning behind the decisions made. In addition, the case studiesfeatured can help taxpayers and […]