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For an organisation to do business with government, one of the requirements is for them to be up to date with their tax obligations as certified by a tax clearance certificate, issued by SARS.

It has come to the DA’s attention that Independent Newspapers appears unable to produce such a certificate in order to receive business from government, including the placement of advertisements and notices.

Whilst we recognise that the relationship between SARS and tax payers is confidential to them, a recent court judgement, pertaining to the tax affairs of disgraced former president Jacob Zuma recognises the need for exceptions to be made in the public interest.

Where a newspaper claims to provide independent, reliable and credible information to the public, it follows that they should be completely above reproach especially with regard to their obligation to pay tax. The public needs to know whether Independent Newspapers has not complied with the tax laws that every other business must obey. Tax non-compliance constitutes a serious offence and we will be writing to the SARS Commissioner to urge him to take decisive action to extract the relevant tax payments that they appear to have failed to pay.

The number of tax payers in South Africa is dwindling rapidly as more and more skilled South Africans choose to take their skills abroad as incoherent government economic policy crowds out job creation. Under these conditions, it falls to a small number of compliant tax payers to bankroll the bloated and increasingly dysfunctional ANC government.

In the interests of openness and transparency, as demanded from political parties by newspapers seeking to hold them to account, Independent Newspapers needs to satisfy hard working South Africans who do pay their tax, that they are tax compliant and, if not, what they will do to resolve their non-compliance as soon as possible.

Issued by DA Shadow Deputy Minister of Finance