SARS cracks down on corruption, secures court order against former officials

SARS' Illicit Economy Strategy targets corruption and fraud in government departments as high priority focus areas. through one partisan Applying to the Gauteng Division of the High Court in Pretoria under Section 163 of the Tax Administration Act, SARS has secured a protection order against two of its former officials, who resigned from the organization in 2024 and 2025 respectively.

In addition to meeting the statutory threshold set out in the Tax Administration Act for granting protection orders, SARS presented Prima facie Evidence before the court of non-compliance with relevant tax laws by the two officials, including corruption, money laundering, unauthorized work outside SARS, breach of SARS confidentiality provisions, and misuse of state assets in furtherance of corruption. The court appointed a Curator Bonis To conserve assets and prevent their wastage while finalizing tax assessments.

The protection order places three immovable properties, six vehicles and several bank and investment accounts held at major financial institutions under curatorship to prevent their dissipation. In addition to assets identified by SARS, the Curator is authorized by the High Court to investigate and locate assets that have been concealed or kept beyond the reach of SARS.

The properties, which have a total value of several million rand, cannot be sold or transferred without authorization, thus securing high-value assets until tax assessments are finalized. The Curator is granted immediate powers to secure, control, manage and, where authorised, dispose of the property for the recovery of taxes due.

Acting SARS Commissioner Dr Johnstone Makhubu said corruption within the institution would be swiftly dealt with by adopting the most serious measures permitted by law. “Corruption by SARS employees, whether former or present, is the worst form of betrayal. It undermines public trust, damages the integrity of our systems, and attacks the state's ability to serve its people”.

Dr Makhubu said the protection order reflects SARS's commitment to act decisively. “We are acting quickly, securing assets, and following the money. Where corruption intersects with the tax and customs systems, SARS will intervene swiftly and legally. No one is above the law, especially those assigned to enforce it.”

The SARS Illicit Economy Strategy gives effect to the National Illicit Economy Disruption Programme, as announced by the President of South Africa in his address to the nation. Latest action protects revenue base; Combats corruption and criminality within and outside SARS; restores institutional integrity; And there are visible consequences for non-compliance.

SARS is grateful to the loyal staff and citizens who, through whistleblowing, brought this criminality to its attention and enabled the organization to uncover complex corruption schemes. SARS confirms that further civil, administrative and criminal proceedings may occur as the investigation progresses.

SARS urges the public to protect the integrity of our tax and customs systems and to report corruption, tax fraud and related criminal activities through its confidential platform. “The days when employees indulge in crime and choose to resign rather than face the consequences of their wrongdoings are over. Those who think that this approach will absolve them of the consequences of their actions should know that they will be pursued and found wherever they are”, Makhubu concluded.