SARS asks public to help in fight against illicit trade as country loses millions each day
South Africa loses more than R250m in tax revenues per day to illicit economic activity.

SARS has asked the public to help it fight illicit trade in South Africa as the country loses more than R250-million in tax revenues per day.
“This has a knock-on effect on job creation and service provision,” said Geraldine Fröhling, a communication specialist at SARS.
“This is why we wish to appeal to the South African public to work with us in the fight against illicit trade.
“One can do this by refusing to buy counterfeit goods or contraband cigarettes.”
Poaching incidents should also be reported to SARS, the police and/or the Department of Environmental Affairs.
The informal trade in precious stones such as diamonds should also be reported.
Fröhling said SARS wants to detect the taxpayers and traders involved to restrain revenue leakages from illegal practices in the illicit economy.
Fröhling said SARS and the country have experienced huge losses in revenue.
“This loss was due to a global surge in illicit commodities and undervalued imports of clothing and textiles, which continue to damage the country’s economy.
“These illicit activities are part of a covert economy, which operates outside the country’s rules and protocols.
“They extend to organised crime, which is driving the trade in illicit products.
Over the past few years, SARS has continued to combat this challenge.
“However, this cannot succeed without the support of the public, the ultimately market for such crimes.
Fröhling said SARS has thus embarked on an awareness campaign through a series of webinars such as a recent one on illicit trade and counterfeit procedures, available on SARS’s YouTube channel.
“SARS is concerned about these tax crimes and wishes to reassure the public that we are taking the necessary measures to clamp down on them.”
Illicit trade harms businesses and the economy as a whole. It results in lower revenue income for state coffers and limits the potential to grow and create jobs.
Fröhling urged taxpayers, traders and the public to use crime-reporting tools available on the SARS website to report transgressions.
“They can remain anonymous when reporting these crimes.”
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