<\/p>\n
<\/iframe><\/p>\n<p>You can also listen to this podcast on iono.fm here.<\/p>\n<p><strong>JIMMY MOYAHA:<\/strong> Effective 1st May 2026 \u2013 last week Friday, Workers\u2019 Day \u2013 a gentleman by the name of Dr\u00a0Ngobani Johnstone Makhubu took over officially as the Commissioner of the South African Revenue Service [Sars].<\/p>\n<p>We know that this announcement was made in April this year, 2026, by President Cyril Ramaphosa, who declared that following the departure of commissioner Edward Kieswetter Dr Makhubu would be assuming the role.<\/p>\n<p>Dr Makhubu joins us on the line to look at this announcement and what we make of the future of the South African Revenue Service.<\/p>\n<p>Dr Makhubu, lovely having you on the show. Thanks so much for taking the time. Congratulations are in order.<\/p>\n<p>I believe this could be one of the first conversations you\u2019ve had since assuming your new role, so allow me to be the first to congratulate you on stepping into arguably one of the toughest positions in the country at the moment. But congratulations, nonetheless.<\/p>\n<p><strong>JOHNSTONE MAKHUBU:<\/strong> Thank you Jimmy, and greetings to yourself and your listeners. Thank you very much for having us. Indeed we are honoured and privileged to be given this task to run the tax administration to the next era post the work that our commissioner, Commissioner Kieswetter, did until the 30th of April. Thank you.<\/p>\n<p><strong>JIMMY MOYAHA:<\/strong> Dr Makhubu, this is not unfamiliar territory for you. This is not the first time you have stepped into a senior position within the South African Revenue Service, having previously served as deputy commissioner.<\/p>\n<p>I want to get your thoughts on whether you are feeling that this is a significant change, or this is just more of the same hard work \u2013 perhaps with a different hat on.<\/p>\n<p><strong>JOHNSTONE MAKHUBU:<\/strong> Look, I said to somebody a while ago that being a deputy commissioner \u2013 especially of the biggest portfolio in the organisation \u2013 did introduce me and allow me to work on aspects of our strategy that we\u2019ve been delivering in the last three or four years substantially. So I think that introduced me.<\/p>\n<blockquote>\n<p>But I must say that being the commissioner of the South African Revenue Service is a completely different ballgame, and I come with a very clear sense that it\u2019s going to be a challenge.<\/p>\n<div class=\"visible-sm-block visible-xs-block m1010\">\n<div class=\"ad-container-wrapper\">\n<p>ADVERTISEMENT<\/p>\n<p>CONTINUE READING BELOW<\/p>\n<\/div>\n<\/div>\n<\/blockquote>\n<p>While I\u2019ve run almost 70% of the business, I consider the role of the commissioner of Sars a completely different ballgame, and therefore I come with the humility of knowing that we\u2019re going to have to roll up our sleeves and work pretty hard.<\/p>\n<p>I\u2019m not at all at the point where I\u2019m complacent that I\u2019m an internal candidate that was appointed. I think it\u2019s going to be tough, and I come with that clarity of mind.<\/p>\n<p><strong>JIMMY MOYAHA:<\/strong> Now, Commissioner, your predecessor started a restructuring process of the South African Revenue Service back in 2019. We are still in the process of the Vision 2030 strategy that Sars previously outlined.<\/p>\n<p>I want to get your thoughts on what then become strategic priorities at the moment as you take over the reins and look to fulfil the remainder of those plans that have been in place, even while you\u2019ve been within the revenue service.<\/p>\n<p><strong>JOHNSTONE MAKHUBU:<\/strong> I think first \u2013 it\u2019s important that for me, it\u2019s crucial \u2013 that we maintain continuity.<\/p>\n<p>Often when leaders change at the helm of the organisation, they change for the sake of change, not for anything but the change. And therefore for us \u2013 and for me in particular \u2013 I\u2019d like to maintain continuity.<\/p>\n<p>Because certainly I have been party to crafting Vision 2030 and therefore I know the rationale. I know what diagnostics we did to arrive at Vision 2030.<\/p>\n<blockquote>\n<p>Fundamental for me among the priorities is the continuation of Sars Modernisation 3.0.<\/p>\n<\/blockquote>\n<p>You would recall that we issued a white paper where we were quite transparent around the eight generational programmes that we would like to drive, all aimed at creating an intelligent, smart and modern tax-administration platform that would allow us to drive voluntary compliance, allow us to be trusted, and have efficient processes.<\/p>\n<p><strong>Priorities<\/strong><\/p>\n<p>So key among the strategic priorities that I\u2019m pursuing is that concept of continuity, especially when it comes to our Modernisation 3.0, which we continue to drive.<\/p>\n<p>But again, when you step back from that continuity, my sense is that what we\u2019re going to have to drive significantly going forward is the tax base expansion \u2013 or broadening of the tax base.<\/p>\n<div class=\"visible-sm-block visible-xs-block m1010\">\n<div class=\"ad-container-wrapper\">\n<p>ADVERTISEMENT:<\/p>\n<p>CONTINUE READING BELOW<\/p>\n<\/div>\n<\/div>\n<blockquote>\n<p>You would recall that about 13.2% of the population that is eligible to pay taxes carries just about 50% of the total personal income tax that we collect.<\/p>\n<\/blockquote>\n<p>That is very narrow and it is not sustainable.<\/p>\n<p>Therefore I am intent on driving intentional work to broaden the tax base as Priority Number Two.<\/p>\n<p>Of course, the illicit economy continues to bedevil us. There\u2019s a lot of research that has been done, and one wants to really hit the ground running.<\/p>\n<p>The president mentioned the national illicit economy, the economy disruption programme. We are plugged into that programme, but we are very clear that there are things that we must do, as the administration, that the Customs and Excise Act empowers us to do.<\/p>\n<p>And therefore, while we are plugged into the programme, the president and the minister announced we want to also continue the work that we are entrusted to do as a tax administration.<\/p>\n<p>And maybe if I just add one of the key priorities \u2013 if I add the fourth one for the time that we have \u2013 is how we make sure that we repair relationships or build the relationships with the partners in the ecosystem, particularly tax practitioners.<\/p>\n<p>It\u2019s important for me that tax practitioners who serve us, taxpayers who have direct access to us, feel heard by us that they are able to raise issues with us, and those issues can be addressed.<\/p>\n<p>Therefore relationship-building and strengthening is going to be another strategic priority that one is going to be pursuing going forward.<\/p>\n<p><strong>JIMMY MOYAHA:<\/strong> Commissioner, before I let you go, your thoughts on where we stand at the moment from a tax and revenue and fiscal position as a country, understanding, of course, we did happen to have several good years of tax collections \u2013 overrunning on that side. I\u2019d imagine that momentum would be ideal to maintain.<\/p>\n<p>You touched on the fact that it is vital that we grow the tax base that is able to carry the tax burden of the country from where we stand now. Are you confident that with these priorities you\u2019ve outlined we\u2019ll be able to continue the momentum that Sars has been able to garner over the last couple of years?<\/p>\n<div class=\"visible-sm-block visible-xs-block m1010\">\n<div class=\"ad-container-wrapper\">\n<p>ADVERTISEMENT:<\/p>\n<p>CONTINUE READING BELOW<\/p>\n<\/p><\/div>\n<\/div>\n<p><strong>JOHNSTONE MAKHUBU:<\/strong> If you just look back quickly, you realise that we came off a base where our revenues were really put under pressure during Covid.<\/p>\n<p>We subsequently dealt with load shedding, significant load shedding. You remember us going on record saying R50-60 billion in 2022\/23 was lost due to load shedding.<\/p>\n<p>Soon after that we faced the network logistics system that couldn\u2019t perform at the levels that were required \u2013 until Operation Vulindlela came in and started to give us some gains.<\/p>\n<p>I\u2019m mentioning these things to suggest that there have been some tailwinds in the last seven years that we have faced \u2013 and by focusing on a sound compliance programme we\u2019ve been able to weather the storms.<\/p>\n<p>We hope to do the same now, but we are not in oblivion as to the geopolitical tensions, global supply chain disruptions, and the impact these have on this small open economy.<\/p>\n<blockquote>\n<p>Therefore, inasmuch as we don\u2019t have control over what happens in the economy, our intention is to focus on what we have control over, and that is our compliance programme.<\/p>\n<\/blockquote>\n<p>We will continue to focus on how we get that extra rand, that extra billion, out of our compliance work. That\u2019s where I want to drive the organisation.<\/p>\n<p>I believe there are quite a few opportunities that can help us, to an extent, to weather the storms that lie ahead.<\/p>\n<p><strong>JIMMY MOYAHA:<\/strong> Continuity and a renewed focus on carrying out the objectives previously set out for the South African Revenue Service. The new Commissioner of the South African Revenue Service has been outlining the priorities of the organisation and his administration.<\/p>\n<p>All the best to you, good sir, as you take on this important role. We look forward to seeing the successes that the South African Revenue Service has been able to garner over the last couple of years and will continue to garner.<\/p>\n<p>South African Revenue Service Commissioner Dr\u00a0Johnstone Makhubu joined us to discuss his priorities as he steps into the role of commissioner.<\/p>\n<\/p><\/div>\n<p>#Stronger #Sars #Makhubu #promises #continuity<\/p>\n","protected":false},"excerpt":{"rendered":"<p>You can also listen to this podcast on iono.fm here. 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