Sars urges customers to be cautious

The South African Revenue Service (Sars) has urged customers to be vigilant at till points after a Western Cape High Court ruling legally set aside the VAT increase.

Welcoming the ruling, Sars commissioner Edward Kieswetter noted that it has significant practical implications for VAT vendors and consumers.

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He said that, as the administrator of all national government tax measures, Sars will ensure the necessary adjustments are made to accommodate this change.

“I understand the complexity and confusion that has resulted from this process. Sars will do its best to provide further clarity to create certainty of obligation for all vendors,” said Kieswetter.

Speaking to the national broadcaster today (Monday), Kieswetter urged consumers to be vigilant at points of sale and ensure they are charged 15% VAT and to engage their stores should they be charged 15.5%.

Vendors who have already implemented both the rate changes and zero-rating are encouraged to reverse those changes before 1 May.

This comes after the Western Cape High Court set aside the VAT increase and the fiscal framework.

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