South Africa should expand its tax base and improve enforcement instead of relying on large new tax increases, the South African Institute of Taxation says.
SAIT chief executive Professor Keith Engel made the comments ahead of the institute’s annual Tax Indaba, which opens in Sandton on Monday and runs until Wednesday.
Engel said stronger economic growth and job creation were central to bringing more people and businesses into the tax system. He argued that changes to tax law alone would not solve the revenue challenge.
The comments represent SAIT’s policy position ahead of the conference.
SARS digital systems in focus
Engel said the South African Revenue Service was increasingly using digital systems and third-party information to identify undeclared income and wealth.
The Tax Indaba programme includes sessions on the next phase of tax administration, the burden of VAT and other tax increases, international trade, small businesses, high-net-worth taxpayers and the use of technology in tax practice.
SARS Commissioner Dr Johnstone Makhubu is scheduled to join Engel for a session on digital tax administration on the opening morning, according to SAIT’s published programme.
The three-day conference will be held at The Capital on the Park in Sandton, with online attendance also available.
SAIT has framed this year’s gathering around the question of how South Africa can move from fiscal constraints towards sustainable reform. The programme brings together tax practitioners, public officials and business representatives.
