SARS targets bank accounts

CathJ

CathJ

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The South African Revenue Service (Sars) now has the means to deduct fines for late returns directly from your bank account.
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Absolutely insane! This can't be legal, surely? Not without a court order and a lien and all that stuff?
 
The only efficient department we have, sadly.

Imagine housing/health been run like this...
 
Kokop said:
The only efficient department we have, sadly.

Imagine housing/health been run like this...
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Most governments are efficient at taking your money but incompetent at delivering on service.

I'm not sure how legal this is though as they require your authorisation to deduct money from your account.
 
Smooth Criminal said:
Most governments are efficient at taking your money but incompetent at delivering on service.

I'm not sure how legal this is though as they require your authorisation to deduct money from your account.
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Not just your authorisation, though - I don't know much about debt collection, but wouldn't this put SARS ahead of any of your other creditors? Who, I'm sure, have to get a court order to put a lien against your salary, or issue a garnishee order or something (I forget the exact terminology).

And yeah, the opportunity for errors is huge!
 
If I'm not mistaken that was why the rica / fica thing was implemented by banks a few years ago. This means people like Waiters and Taxi drivers that work with cash but have bank accounts will not be able to dodge Mr. tax.

So if you hide it in your mattress you might never pay tax but you will not be credit worthy.


I might be wrong but it was explained to me this way.
 
Mila said:
If I'm not mistaken that was why the rica / fica thing was implemented by banks a few years ago. This means people like Waiters and Taxi drivers that work with cash but have bank accounts will not be able to dodge Mr. tax.

So if you hide it in your mattress you might never pay tax but you will not be credit worthy.


I might be wrong but it was explained to me this way.
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Waiters & taxi drivers don't earn enough to pay tax. Their sector is informal & there are no benefits.
 
R13... said:
Waiters & taxi drivers don't earn enough to pay tax. Their sector is informal & there are no benefits.
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:D Depends on where you waiter.:o I made loads more than my tax paying friends were:D But that is who I'm talking about. The people working with cash that earns a load but does not pay income thax and and and.

But like I said the people telling me this might have been nasty because I was in the pound seats.

I see that this is for arrears only, but I think that is for now. The rest will come.
 
Mila said:
If I'm not mistaken that was why the rica / fica thing was implemented by banks a few years ago. This means people like Waiters and Taxi drivers that work with cash but have bank accounts will not be able to dodge Mr. tax.
So if you hide it in your mattress you might never pay tax but you will not be credit worthy.
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Tip
You bank just enough to keep you in the minimum bracket or just under the bracket, you always keep up the account, if you have a credit card you never let it lapse, and never spend big on it, and live off your cash as much as possible.
Money in the bank, good credit rating and the rest (cash) is yours to do with as you please.
 
Nanfeishen said:
Tip
You bank just enough to keep you in the minimum bracket or just under the bracket, you always keep up the account, if you have a credit card you never let it lapse, and never spend big on it, and live off your cash as much as possible.
Money in the bank, good credit rating and the rest (cash) is yours to do with as you please.
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:D

But:
Kalvaer said:
I dont mind to much.. They owe me money this year.. and actually just paid it in this morning :D
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I also think this might ( and note I say might) help with people that are evading taxes. And in turn this might (again might:() help with the NHI and things.
 
I am curious, dont we pay tax that gets deducted from our salaries? So how can people have arrears?
 
Koos Custodiet said:
"What did you do with his body?"
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:eek: I did not make any money from his kidneys I promise!!!!!:D

Blaze786 said:
I am curious, dont we pay tax that gets deducted from our salaries? So how can people have arrears?
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Some people have benefits like cars and stuff and if it is used wrong you owe SARS. That and stuff like if you make profit of the second property you sell and if you have Lotto money in your account you have to pay tax on the rent.

Then Mr SARS wants the money you owe him.
 
Question

Smooth Criminal said:
Most governments are efficient at taking your money but incompetent at delivering on service.

I'm not sure how legal this is though as they require your authorisation to deduct money from your account.
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Lets ask it this way, have you given SARS or your company authorisation to deduct the tax off your salary each month?
 
remybfg10k said:
Lets ask it this way, have you given SARS or your company authorisation to deduct the tax off your salary each month?
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That occurs prior to it being deposited into your bank account. You need to view the bank as a black box. To get into it and deduct from what's there, they require authorisation, as does everyone else.

The question is who gave SARS permission to deduct from your account, if not you? And what right do they have in doing so?
 
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