Moyane faces fresh claims of illegal VAT refund payments to Guptas

Sars commissioner Tom Moyane File picture: Jonisayi Maromo/ANA

Sars commissioner Tom Moyane File picture: Jonisayi Maromo/ANA

Published Mar 16, 2018

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Johannesburg - Sars Commissioner Tom Moyane's reign at the revenue service continues to be tainted with scandal with fresh allegations that he forced an illegal VAT payment of R70 million to the Guptas.

 

The Daily Maverick's investigative unit, Scorpio, reported on Friday that Moyane had forced Sars officials to flout tax laws just to ensure that the controversial Gupta family received three VAT refund payments through a third party. 

 

Third payments VAT payments are illegal according the law for the sole purpose of avoiding fraud and money laundering. 

 

Sars correspondence between various officials and Oakbay Resources director Ronica Ragavan, showed how Ragavan continuously forced Sars officials to make the payments. 

 

Some senior Sars officials protested the payments being made to third parties, but their concerns were ignored by Sars' legal head and Moyane.

 

Scorpio reported that Moyane denied any wrongdoing linked to the VAT payments, he said he used his discretion as the commissioner to authorise the payments to the third party on behalf of the Guptas because of the company's banking issues. 

 

Various banks began closing Gupta linked accounts in 2016. 

The VAT payments were made in May last year.

 

These allegations follow the resignation of Sars official Jonas Makwakwa on Tuesday. He left the revenue service after allegations of corrupting began to surface against him.  

 

Moyane has been accused of protecting Makwakwa. 

 

Parliament has requested that Moyane hand over all the documents related to Makwakwa's tax records and the report conducted by the law firm by Friday. 

Political Bureau

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