EMEA News
South African Tax Authority: 'Comply or Face the Consequences'
The South African Revenue Service (SARS) has issued a statement on its investigation into the tax and customs arrangements of the country's bunker industry that has brought supply at Algoa Bay to a halt.
Five vessels, including three bunker delivery vessels, were detained in South Africa last week. Two out of three physical bunker suppliers at Algoa Bay have been forced to halt operations as a result, with the third reportedly short on product until the end of this month.
The dispute is over bunker suppliers delivering marine fuel cargoes from other countries into floating storage facilities off Algoa Bay and selling them on as bunkers without first having been properly registered and taxed as imports, rather than transshipped product.
"SARS confirms that several vessels were detained in terms of the Customs and Excise Act, 91 of 1964," the authority said in a statement on its website on Wednesday.
"This was done in the normal course of investigating whether the provisions of the Act have been contravened.
"SARS is of the view that the detention is lawful and, as the investigation is ongoing, no decision to seize such vessels has been taken.
"SARS will not hesitate to act firmly and robustly to ensure that non-compliance is hard and costly for those that wilfully and intentionally ignore their obligations.
"The clarion call to all taxpayers and traders is: 'comply or face the consequences'."
