NON-COMPLIANT EMPLOYERS ON SARS’ RADAR
Employers who incorrectly declare or who fail to pay over PAYE to SARS have become a priority item for SARS following a media statement on 5 May 2020.
In SARS’ media statement of 5 May 2020, it is clear that they desperately need to collect more tax and the Commissioner has noted several times that he is aware of the pervasive non-compliance among employers.
The Tax Administration Act allows SARS to go after the employer where PAYE is outstanding, it does not have to pursue the employee. This is an effective collection strategy and with the knowledge that many employers do not withhold and pay over PAYE correctly, employers will receive special attention from SARS in the coming months.
Where you are concerned about your payroll taxes, it is best to talk to SARS before they talk to you. If SARS finds you first, you as the employer will be liable for the tax, penalties and interest, not to mention the risk of facing criminal prosecution.
Our multidisciplinary team of tax attorneys, assisted by chartered accountants, has a proven track record of following a strict legal and compliant approach with solution-based thinking to help correct your past non-compliance.