Special desks launched to assist small businesses

Friday, June 5, 2015

Johannesburg - The opening of the specialised small business support desks at the South African Revenue Service (SARS) branch in Orlando East will assist small business tax payers in the area, Commissioner Tom Moyane said on Friday.

“We are unveiling the SARS small business desks that will provide a dedicated service to small business entrepreneurs. This initiative is to support small business development flows from our government’s vision contained in the National Development Plan (NDP) to put our country on a new trajectory,” said Commissioner Moyane.

The commissioner was speaking at the official opening of the revenue service’s Orlando East branch in Soweto. The branch has been in operation since 12 May 2014. The opening also coincided with the launch of the small business support desks at the branch.

Business tax advice, entity registration, business returns submissions and Tax Clearance Certificates (TCC) are among the services provided by the support desks.

“The small business desks, which are being rolled out at SARS branches around the country were established as part of government’s commitment to support SMMEs and to make it easier for them to comply with their tax obligations.”

Small businesses, said the commissioner, are the heartbeat of any developing economy because they create jobs.

“Today we are rolling back the high mortality rate of small business. The opening of this branch creates an avenue for all business entrepreneurs to have a desk at which they will be able to receive services.”

Since August 2014 the revenue service has established 138 small business desks in 50 out of the 52 SARS branches across the country.  More desks are expected to be opened in the next two years due to demand.

A small business survey conducted on small business owners at SARS branches found that 68% of the small businesses were at the revenue service to collect TCC’s, 9% came for VAT issues.

The disparities of the past and the impact of apartheid have affected people being able to access some of the services available to them. “It is important that SARS creates avenues that to do business with SARS becomes easy,” said Moyane.

Member of Parliament’s Standing Committee of Finance, Desmond Van Rooyen, agreed with the commissioner, adding that in its engagement with the revenue service the committee said it needed SARS to have a footprint in previously disadvantaged areas.

Van Rooyen added that often the collapse of a small business is related to non-compliance. 

Representative of the Ministry of Small Business Development AM Mojalefa welcomed the establishment of the small business desks, saying the ministry was encouraged by the initiative.

Meanwhile, the commissioner urged tax payers and business to continue paying their taxes and to do so in time.

He said there are many reasons for the low tax compliance in the small business segment. “The small business segment needs to be understood, they are survivalist in nature.”

Manager of the branch, Second Mohlala said the establishment of the desks demonstrates SARS’s commitment to bring services to the people.

Commissioner Moyane also unveiled a plaque at the opening of the Orlando East branch which is the second branch to be opened in Soweto. – SAnews.gov.za