Durban: The KwaZulu-Natal Local Division of the Durban High Court has issued a preservation order and a search-and-seizure warrant in the case of the Commissioner of the South African Revenue Service (SARS) versus Shauwn Mkhize and others. This court action is seen as a significant step in combating tax evasion and criminal activities that pose a threat to the country’s economy.

According to South African Government News Agency, the court’s decision is pivotal in advancing SARS’s strategic objective to deter taxpayers who intentionally engage in illicit activities. Over recent years, SARS has been rigorously investigating the construction industry to ensure compliance with tax laws. The agency enforces the provisions outlined in the Tax Administration Act No. 28 of 2011, with a particular emphasis on section 163, which focuses on the preservation and securing of assets.

This latest enforcement action is among several measures that SARS has undertaken, in collaboration with the South African Police Service a
nd the Directorate for Priority Crime Investigation (Hawks), to maintain the integrity of the tax system. The orders were issued to prevent the dissipation of realisable assets that could obstruct tax collection and to secure evidence of potential non-compliance with tax laws.

SARS Commissioner Edward Kieswetter expressed his gratitude to the law-enforcement agencies involved, including the South African Police Service, Hawks, and SARS members, for their cooperation in completing the operation under challenging conditions. Kieswetter emphasized that SARS will execute its mandate without fear, favour, or prejudice, highlighting that no one is above the law and underscoring the importance of meeting legal obligations. He noted that the search-and-seizure operation sends a clear message that law-enforcement agencies will act decisively against lawlessness, as the most vulnerable in society depend on taxes to alleviate poverty, unemployment, and hunger.