Guiding consumers since 2009

Taxpayers 'tend to be demonised'

By Staff Writer

From Business Report, January 11, 2008

By Ethel Hazelhurst

This was the cry from a tax expert yesterday as he was responding to comments by finance minister Trevor Manuel at the fourth meeting of the Organisation for Economic Co-operation and Development's Forum on Tax Administration in Cape Town yesterday.

Are you paying too much tax? Use our income tax calculator

Manuel said poor countries with "less sophisticated" tax administrations "find it
difficult to unravel the complex structures that multinationals and other large
companies put in place to minimise tax".

The tax expert, who did not want to be named, said: "Tax administrators meet regularly and agree on a strategy to mobilise public opinion. They tend to demonise certain categories of tax payers - usually multinationals, big banks, big accountancy and law firms and wealthy private individuals.

"Of course there are always taxpayers who deserve the criticism. And because of this, the whole group becomes a soft target. But not every attack by the tax authority is valid. Each case can only be decided in court and when they do go to court the tax authority usually loses as often as it wins."

In South Africa, tax disputes are heard by the tax court and can then be taken on appeal to higher courts.

However, Manuel was making a broader point, said Billy Joubert, tax director at Deloitte, about the need for partnerships between countries to assist the less
developed countries.

Recent Articles

Featured New homeowner? Be aware of these extra expenses

You’ve overcome all the hurdles of buying a home. You’ve managed to pay your deposit and your closing payments, and now you’re a proud title deed holder. However, there are other expenses waiting around the corner. Are you prepared?

Your biggest credit conundrums – answered

Understanding your credit health is one of the most important factors in managing your finances. This is because it gives you insight into your debt, your borrowing ability, and your financial history. While many understand this, there are still many questions on how to do just that.

Avoid debt collectors, choose debt counselling

There are two things you can do when you are struggling to pay your debt. You can either let your creditors hand your debt over to debt collectors – or you can let debt counsellors help you deal with your debt.

Retail notes: easy investment option for new investors

Being a newbie in the world of investing can be challenging because you don’t know where and how to invest. With so many investment options, you could easily be befuddled. Justmoney looks at how retail notes can help you cut your teeth in the world of investing.   

Deals

Translux Student Discount

Price: Depends on destination
When: Daily
Where: Nationwide

Zimbali Senior Citizens Discount

Price: From R1342.00
When: Until 14 December 2019
Where: KwaZulu Natal

Free meal for kids at Mozambik Restaurant

Price: Free
When: Until 15 November 2019
Where: Johannesburg, Durban, Pretoria