As tax season is upon us, citizens are warned to be aware of scams Photo Pexels
South Africa – As tax filing season is upon us, the South African Revenue Service (SARS) has issued a warning regarding the latest tax return scams. With the rise of scams targeting taxpayers, it is crucial to be vigilant and take necessary precautions to protect your personal information and finances.
SARS has introduced an auto assessment process for nearly five million taxpayers. This means that for the majority of taxpayers, filing their tax returns will be a straightforward process, as SARS will assess their taxes automatically and issue refunds if applicable. However, this does not mean one can take their eye off the ball. One still needs to keep an eye out for scams and any suspicious SMS they receive, said Fareed Khan, Regional Director for SARS Gauteng, South Africa.
“First of all, SARS will never send you a link that you need to click on and share your password or username or banking details or anything like that. SARS will always send you a message and ask you to log on to their e-filing site. So don’t ever click on any links purportedly coming from SARS.”
Dealing with scam communication
In instances where taxpayers owe money to SARS, fraudsters often take advantage of this situation. They exploit the fear a person has of SARS. They may offer reduced settlement amounts and request payment into their bank accounts, falsely claiming to be acting on behalf of SARS. Overcome with fear, many fall prey to such methods. One should be aware of how these fraudsters operate so as to not fall into their web of lies and deceit.
“The first thing to remember is SARS will not send you a link. If there is a link, please do not click on that link. The second thing to remember is you know your tax affairs. If you believe that a refund is not due to you, then immediately your default position is this is a scam. If you’re uncertain log on to your e-filing website or visit a branch. That’s the best advice I can give to people. We do not use Payfast at SARS. We will not even give you an account number. Please remember, SARS does not distribute a bank account number that you need to deposit money into or pay money to SARS. We have a corporate account.”
If you are still unsure, Khan emphasised one should call SARS or make an appointment at one of the branches. SARS have “competent members” who can help you out with any issue you have. SARS will also not send a compromise, or a settlement offer via WhatsApp, email or SMS. It will always be done after “engagement with you via a telephone call or a physical visit and a letter of compromise will be sent to you”. After this letter is signed and accepted, then only will payment be expected.
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SARS investigations and recourse
SARS is actively investigating tax return scams and working to combat fraud. Recent arrests of scamsters reflect their commitment to protecting taxpayers. If you have been scammed and made a payment, it is essential to understand that SARS is obligated to collect outstanding amounts.
“Several investigations are underway. In fact, last week two scamsters were arrested and sentenced to significant terms of prison. So, the work is ongoing but remember scamsters, fraudsters are very innovative. There are no rules that govern them and how they work. Legitimate organisations follow rules. Scamsters and fraudsters don’t follow rules. So where do they get their information? There are several sources. I must tell you that just yesterday there were two Facebook posts where people posted their ITA34 assessments including their tax reference numbers. Scamsters are out and there they can see those things.”
There are some allegations that one of the scammers and fraudsters’ sources is SARS itself. However, Khan categorically denied this and stated that SARS have not been “hacked, ever” and “taxpayers’ details are secure in SARS”.
As tax filing season is here, it is crucial to remain vigilant against tax return scams. SARS reiterates that taxpayers should not fear the organisation if they are compliant and conducting their affairs transparently. In the event of any uncertainties or concerns, taxpayers are encouraged to visit a SARS branch or contact the SARS call centre. By following these guidelines and staying informed, taxpayers can protect themselves from falling victim to scams and ensure a smooth tax filing experience.
Fareed Khan spoke to Inayet Wadee on the recourse a victim has, how amenable SARS would be towards them as well as assisting non-digital taxpayers. Listen to that discussion here:
