South African Revenue Service (SARS) Commissioner Edward Kieswetter has thanked the country's obedient taxpayers after the Revenue Service recorded a historic R2 trillion in net tax collections for the 2025/26 financial year.
Kieswetter announced the record-breaking collections during the presentation of preliminary revenue results for the fiscal year on Wednesday.
Read | SARS to exceed R2 trillion in net revenue collections in 2025/26
Keep up with the latest headlines WhatsApp | Linkedin
He emphasized that the unprecedented collection is not just a financial statistic but a testament to the collective financial responsibility of taxpayers who perform their duties.
“We have always said that without SARS, our democracy would be ineffective because SARS is a story about the people – the 62 million people we serve. Everyone pays taxes because when you buy you don't pay taxes, so we have 62 million taxpayers.
“The record achievement we have reached today is all because of compliant taxpayers; I want to thank them for their fiscal citizenship and contributions to helping the most vulnerable in our society,” Kieswetter said.
The Commissioner said that although the duty of the Revenue Service is clear, to collect taxes, ensure compliance and facilitate legitimate trade, the organization has adopted a deeper mission.
“(We) chose something that is not covered in the law, and we define it as our higher purpose. It is our reason for existence.
He said, “And that…is clearly that our work enables the government to build a capable state that promotes sustainable economic growth and social development, which ultimately serves the well-being of South Africans.”
Kieswetter described the work of SARS as transformative in the lives of ordinary South Africans.
“Every rand not only helps build an efficient state that respects the social contract but also enables the state to work for all South Africans and strengthen the fiscal integrity of South Africa.
“We remind ourselves every day that our work is transformative. And while rich people can protect themselves from the pandemic (and) protect themselves against failure…poor people have only to look to the government. So, we serve the vulnerable people we serve.”
stop illegal flows
Yet this “transformational” work faces constant threats in the form of illegal activities that hinder optimal revenue collection.
According to SARS, the economy loses some R100 billion every year due to criminal activities including smuggling, customs and excise fraud, under declaration, counterfeit trading, fuel and tobacco syndicates and organized tax crime.
“People who buy illegal goods often believe they are getting a deal.
Kieswetter said, “In reality, they are funding the destruction of legitimate businesses and jobs, shrinking the country's tax base, and weakening the institutions that serve them.”
He said the price of the illegal economy is “paid by society at large” and warned that the Revenue Service was cracking down on such activities.
The commissioner's warning is not unfounded as in March this year, SARS announced that it had launched a search and seizure operation against six of its own customs officers for allegedly colluding with importers in a scheme that under-declared taxable income by R45 million.
In September last year, SARS worked with law enforcement to seize a truck loaded with illegal cigarettes worth approximately R10 million in the Western Cape.
A month later, the Revenue Collector secured a confiscation order against alleged illegal tobacco player, Roy Muleya, over a R155 million tax debt linked to the company of which he is a director.
Kieswetter said, “We will not allow criminal syndicates to circumvent the tax system. SARS, working with other law-enforcement agencies, is determined to disrupt, destroy and shut down illicit trade networks and make non-compliance difficult and costly.”