SARS on successful Filing Season Campaign

South African taxpayers heeded the call to help make South
Africa great by filing their tax returns in huge numbers

19 July 2006

Based on the preliminary outcome of figures for the 2006 Filing Season
Campaign, the South African Revenue Service (SARS) today must thank all
taxpayers for the magnanimity of the response to this year’s campaign.

South Africa’s National budget of R472,7 billion is largely funded by our
tax system. High levels of compliance are therefore central to the funding of
government’s delivery programme. South Africans have responded by meeting their
tax obligations and have helped to make South Africa great!

The preliminary figures indicate that 2,3 million returns were submitted by
this year’s deadline. This represents an increase of 19,1 percent of returns
submitted if compared to the same period last year.

In addition, just over 2 million taxpayers applied for extension before
Friday, 14 July. Of this 1,2 million taxpayers (10,5 percent increase from last
year) was granted an extension. Essentially this represents a commitment by the
taxpayer to submit their return on or before 31 October 2006 and thus to be or
become compliant.

More than 941 000 taxpayers who visited SARS offices or outreach points were
assisted by SARS officials to register, seek assistance in completing their
returns, or related enquiries to clarify their obligations.

Effectively these figures indicate that more than 4,3 million taxpayers
either submitted returns on time or made contact in order to become or remain
tax compliant citizens. This represents over 80 percent of the taxpayers to
whom returns were posted and is an extremely positive indicator of the growing
awareness and desire by taxpayers to comply. The figures released today exclude
a large number of returns still to reach us via post.

Of the total number of returns submitted by the deadline 23 000 were
completed through the electronic submission facility (eFiling). To date more
than 45 000 individual taxpayers have registered as eFiling users.

Since its inception in 2003, the SARS Filing Season has become our single
largest public campaign and is a key determinant of the level of compliance
among individual taxpayers and indicative of the public commitment to South
Africa.

During recent weeks 14 600 SARS employees were very inspired by the positive
and encouraging comments from taxpayers about services rendered during a very
busy and demanding time for SARS branch offices.

The SARS filing season also created employment opportunities for 300
seasonal workers during the peak of the filing season (lasting up to 5 months
for some).

The South African media played a huge role in keeping the taxpayers informed
and updated about the filing season and we appreciate the role played by
them.

Enquiries:
Adrian Lackay
Tel: (012) 422 4206
Cell: 083 388 2580

Issued by: South African Revenue Service
19 July 2006

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