JOHANNESBURG - The South African Revenue Service (Sars) said on Monday that it has embarked on a new initiative with the National Prosecuting Authority (NPA) to prosecute non-compliant taxpayers, including prominent South Africans, who have failed to submit returns.
Sars said that the taxpayers who are found guilty will end up with a criminal record.
The initiative has already seen its first conviction in Port Shepstone in KwaZulu-Natal last week when a company's representative was ordered to submit all the outstanding returns.
A representative of SPS Distributors paid an admission of guilt fine of R5,600 in the Port Shepstone Regional Court for non-submission of more than 50 outstanding Value-Added Tax (VAT), Pay-As-You-Earn, (PAYE) and Corporate Income Tax (CIT) returns.
Failure to submit a tax or VAT return is a criminal offence in terms of the Tax Administration Act and Value-Added Tax legislation.