Small Businesses in Cape Town
16 November 2006
The South African Revenue Service (SARS) today conducted a comprehensive
engagement with small business owners throughout the Cape Town metropole to
encourage participation in the small business tax amnesty process.
SARS officials visited nine business complexes where small businesses
operate. They were joined by Members of Parliament from the National Assembly's
Portfolio Committee on Finance (PCOF). The tax amnesty for small businesses
with a turnover of less than R10 million per annum, was announced in this
year's Budget Speech by the Minister of Finance.
The purpose of today's engagement was to raise public awareness around the
amnesty process; to encourage businesses to apply for amnesty; to extend SARS'
services to business owners and to facilitate participation in Government's
taxi recapitalisation programme and tendering processes.
Areas that were covered today include Khayelitsha, Nyanga Junction, Eisleben
Business Park, Salt River/Maitland, Access Park, the Bellville train station
complex, Kuilsrivier Business Park, Mitchell's Plain Station Plaza and
Gatesville.
The delegation of MPs, lead by the PCOF chairperson, Mr Nhlanhla Nene,
joined SARS officials at the Bellstar Plaza complex at the Bellville train
station. The Plaza is a nodal point in the rail and transportation network
which is used daily by a large number of working class commuters. Likewise, at
Nyanga Junction, many small retailers and traders formal and informal who may
benefit from the tax amnesty engage this market segment.
Mr Nene viewed the small business walkabout as a valuable opportunity for
public representatives and lawmakers to engage ordinary citizens directly. The
participation of MPs also demonstrates Parliament's commitment to the small
business tax amnesty and to ensure its success.
During the course of today SARS teams managed to establish contact with
between 800 and 1 000 businesses to promote the amnesty and to issue them with
amnesty application forms. These engagements also assisted SARS to better
understand the challenges small businesses face and the environment in which
they operate.
The window period during which small businesses can apply for amnesty
expires on 31 May 2007. To date 3 450 businesses have applied for the tax
amnesty to the SARS Small Business Tax Amnesty Unit. This number includes taxi
operators who stand to benefit from the taxi recapitalisation programme and
possible public tenders leading up to the 2010 FIFA World Cup.
The Amnesty Unit has also thus far responded to more than 20 000 public
enquiries on the amnesty and has issued more than 10 000 forms to date to
prospective applicants. The amnesty period remains a window of opportunity for
small businesses to regularise their tax affairs with SARS. Businesses who fail
to respond during this period face the risk of being assessed, audited and
possibly prosecuted after 31 May next year.
SARS remains confident that today's initiative will contribute positively to
the amnesty process.
Contact the Small Business Amnesty Unit:
Call Centre number: 0860 12 12 20
Fax: (011) 602 5502
E-mail: sbau@sars.gov.za
Postal address:
P O Box 292
Groenkloof
0027
Enquiries:
Adrian Lackay
Cell: 083 388 2580
Issued by: South African Revenue Service
16 November 2006
