BCN-06 South African president fires tax boss

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ZCZC

BCN-06

SAFRICA-TAXATION

South African president fires tax boss

JOHANNESBURG, Nov 2, 2018 (BSS/AFP) – South Africa’s President Cyril
Ramaphosa on Thursday sacked the head of the country’s tax collection agency,
an ally of scandal-tainted former leader Jacob Zuma, said the presidency.

The president dismissed Tom Moyane after a judiciary inquiry recommended
his immediate removal “to forestall any further deterioration of our tax
administration system,” said a statement from his office.

Ramaphosa suspended the tax chief in March just a month after taking over
from Zuma and ordered the probe into the South African Revenue Authority
(SARS).

In a letter to Moyane, Ramaphosa said the investigation had painted “a
deeply concerning picture of the current state of SARS and the reckless
mismanagement which characterised your tenure”.

“Of further, and in many ways greater, concern is your refusal to
meaningfully participate in the … (investigation) in order to assist with
identifying the root causes of the systemic failures at SARS and ways in
which to arrest these,” said Ramaphosa in the letter cited in the statement.

The tax service — crucial for raising funds for public services — was
once among the country’s best run and among the most efficient state
institutions.

But it became a battleground of political rivalries in recent years after
Zuma filled it with acolytes.

Since 2014 when Zuma appointed Moyane to head it, the agency repeatedly
failed to meet its tax collection targets.

In his report after the probe, retired Judge Robert Nugent said “the day
Mr Moyane took office was a calamity for SARS. Almost immediately, and then
continuously for the next 18 months, SARS was thrown into turmoil, with
tragic consequences for the lives of many people, tragic consequences for the
reputation of SARS, and tragic consequences for the country at large”.

Ramaphosa said it was evident that if the problems facing the agency were
to be solved “it would be best to terminate” Moyane’s services.

The main opposition Democratic Alliance said over the three-and-a-half
years he was in charge of the tax collection agency “Moyane managed to reduce
the vital entity from being a world leader in tax collection to being a
friend” of the ruling ANC’s state corruption project.

BSS/AFP/HR/0930