Sars refuses to give Zuma’s tax records to Mkhwebane

The South African Revenue Service (Sars) has refused to hand over tax records of former president Jacob Zuma to Public Protector Busisiwe Mkhwebane for investigation, despite a late affidavit by Zuma giving consent for his information to be released.

Sars made a submission in the High Court in Pretoria to apply for an order declaring that the public protector’s subpoena powers do not extend to taxpayer records.

In his argument in court yesterday, Sars lawyer Jeremy Gauntlett said according to the Tax Administration Act (TAA) the revenue collector was not allowed to hand out private tax records about a taxpayer to a third party because it would set a bad precedent.

According to court papers filed yesterday: “The commissioner’s case is essentially that the statutory compulsion under the TAA to keep taxpayer information confidential constitutes ‘just cause’ under the PPA [Public Protector Act]. Hence, the public protector cannot compel by subpoena [backed by contempt proceedings and criminal sanctions against Sars officials] the disclosure of such information.”

Gauntlett also argued that Zuma’s affidavit was submitted late and should not be considered as part of evidence in the case.

In his affidavit, Zuma said the request for his affidavit came when he was ill and was out of the country for medical treatment.

“It was, accordingly, not possible for me to be informed or receive legal advice in connection with the said request,” said Zuma.

Sars applied for the court order after the public protector had made a request in 2018 for Zuma’s tax records.

Mkhwebane requested the record as part of her investigation into claims that Zuma received monthly payments of R1 million from the Royal Security Company.

However, Sars commissioner Edward Kieswetter approached the courts to seek an order declaring that the public protector’s subpoena powers do not extend to taxpayer records.

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