President Cyril Ramaphosa in a statement welcomed a ruling by the high court in Pretoria dismissing axed South African Revenue Service (Sars) boss Tom Moyane's bid to get his job back.

"President Ramaphosa has welcomed the judgment as a step towards stabilising Sars at a time when efficient revenue collection and tax justice is vital to economic recovery and restoring the confidence of corporate and personal taxpayers in this important public institution," the statement from the presidency said.

"In line with the recommendations of the Nugent Commission, the President will soon initiate the process to appoint a new Sars commissioner."

Earlier on Tuesday, Judge Hans Fabricius dismissed Moyane's application with costs and said a punitive cost order against Moyane is justified based on his "abusive" behaviour throughout the court proceedings.

The Nugent Commission of inquiry, appointed by Ramaphosa in May, was tasked to probe governance and administration at the revenue service while Moyane was at the helm.

President Ramaphosa fired Moyane on the recommendation of Judge Nugent's interim report.
 
Moyane insists that the disciplinary hearing should not have happened at the same time as the Sars Commission.

Since he took over at the revenue service in 2014, revenue collection at Sars has dwindled with a shortfall of around R100-billion.