31. Inspection of records
The records, books of account and documents referred to in section 29 whether in the form referred to in section 30(1) or in a form authorised under section 30(2), must at all reasonable times during the required periods under section 29, be open for inspection by a SARS official in the Republic for the purpose of-
(a) determining compliance with the requirements of sections 29 and 30; or
(b) an inspection, audit or investigation under Chapter 5.
38. Information to be submitted
The following information in relation to a “reportable arrangement”, must be submitted in the prescribed form and manner and by the date specified:
(a) a detailed description of all its steps and key features, including, in the case of an ‘arrangement’ that is a step or part of a larger ‘arrangement’, all the steps and key features of the larger ‘arrangement’;
(b) a detailed description of the assumed ‘tax benefits’ for all ‘participants’, including, but not limited to, tax deductions and deferred income;
(c) the names, registration numbers, and registered addresses of all ‘participants’;
(d) a list of all its agreements; and
(e) any financial model that embodies its projected tax treatment.
50. Authorisation for inquiry
(1) A judge may, on application made ex parte and authorised by a senior SARS official grant an order in terms of which a person described in section 51(3) is designated to act as presiding officer at the inquiry referred to in this section.
(2) An application under subsection (1) must be supported by information supplied under oath or solemn declaration, establishing the facts on which the application is based.
(3) A senior SARS official may authorise a person to conduct an inquiry for the purposes of the administration of a tax Act.
65. Person’s right to examine and make copies
(1) The person to whose affairs relevant material seized relates, may examine and copy it.
(2) Examination and copying must be made-
(a) at the person’s cost in accordance with the fees prescribed in accordance with section 92(1)(b) of the Promotion of Access to Information Act;
(b) during normal business hours; and
(c) under the supervision determined by a senior SARS official.
32. Retention period in case of audit, objection or appeal
Despite section 29(3), if-
(a) records, books of account or documents are relevant to an audit or investigation under Chapter 5 which the person subject to the audit or investigation has been notified of or is aware of; or
(b) a person lodges an objection or appeal against an assessment or decision under section 104(2),
the person must retain the records, books of account or documents relevant to the audit, investigation, objection or appeal until the audit or investigation is concluded or the assessment or the decision becomes final.
39. Reportable arrangement reference number
SARS must, after receipt of the information contemplated in section 38, issue a “reportable arrangement” reference number to each “participant” for administrative purposes only.
51. Inquiry order
(1) A judge may grant the order referred to in section 50(1) if satisfied that there are reasonable grounds to believe that-
(a) a person has-
(i) failed to comply with an obligation imposed under a tax Act;
(ii) committed a tax offence; or
(iii) disposed of, removed or concealed assets which may fully or partly satisfy an outstanding tax debt; and
(b) relevant material is likely to be revealed during the inquiry which may provide proof of the failure to comply, of the commission of the offence or of the disposal, removal or concealment of the assets.
[Subsection (1) substituted by section 45 of Act 23 of 2015 effective on 8 January 2016]
(2) The order referred to in subsection (1) must-
(a) designate a presiding officer before whom the inquiry is to be held;
(b) identify the person referred to in subsection (1)(a);
(c) refer to the alleged non-compliance, the commission of the offence or the disposal, removal or concealment of assets to be inquired into;
(d) be reasonably specific as to the ambit of the inquiry; and
(e) be provided to the presiding officer.
[Subsection (2) substituted by section 45 of Act 23 of 2015 effective on 8 January 2016]
(3) A presiding officer must be a person appointed to the panel described in section 111.
66. Application for return of seized relevant material or costs of damages
(1) A person may request SARS to-
(a) return some or all of the seized material; and
(b) pay the costs of physical damage caused during the conduct of a search and seizure.
(2) If SARS refuses the request, the person may apply to a High Court for the return of the seized material or payment of compensation for physical damage caused during the conduct of the search and seizure.
(3) The court may, on good cause shown, make the order as it deems fit.
(4) If the court sets aside the warrant issued in terms of section 60(1) or orders the return of the seized material, the court may nevertheless authorise SARS to retain the original or a copy of any relevant material in the interests of justice.
33. Translation
(1) In the case of information that is not in one of the official languages of the Republic, a senior SARS official may by notice require a person who must furnish the information to SARS, to produce a translation in one of the official languages determined by the official within a reasonable period.
(2) A translation referred to in subsection (1) must-
(a) be produced at a time and at the place specified by the notice; and
(b) if required by SARS, be prepared and certified by a sworn and accredited translator or another person approved by the senior SARS official.
CHAPTER 5
INFORMATION GATHERING