Sars e-filing likely to collapse by 2020: Sars officials

Reading Time: 2 minutes

SARS Information Technology executives appearing before the SARS commission of inquiry in Pretoria say when the Sars’s modernisation programme was stopped to make way for Gartner’s IT strategy, it cost SARS millions and destroyed its efficiencies.

Previous testimonies revealed that Gartner followed an irregular tender process to win the R200-million Sars contract.

The Sars Commission of inquiry is probing financial misconduct at SARS during suspended Sars Commissioner Tom Moyane’s tenure.

The Nugent Commission of Inquiry into Sars  resumed on Monday.

IT Executive at Sars, Andre Rabie says information Technology (IT) efficiencies and support functions at Sars were lost when its original modernisation programme was stopped.

They say that e-filing is likely to collapse by 2020 if nothing much is done to restore efficiencies at the IT department.

The executives say Sars used to have an efficient modernisation model before 2014, but now this has changed.

Suspended Sars Commissioner Tom Moyane appointed global advisory firm Gartner to provide a new multi-phased IT strategy at the revenue service. Rabie says a new IT strategy was not necessary as there was already one in place.

Sars Executive for Programme management, Sue Burger says when the organisation’s IT modernisation project was stopped, it resulted in wasted Sars resources.

She says R66-million worth of projects were abandoned, however Sars had to foot the bill as it had already entered into agreements with service providers.

SARS operating on old IT system

The IT department is operating on an old IT system which is inefficient. They need about R1 billion to improve the IT section.

The commission heard that there was no need for Sars to have sought the services of an IT consulting firm Gardner which recommended that e-filling must be rewritten.

Meanwhile, Judge Robert Nugent has filed papers in the Constitutional Court asking it not to hear suspended Commissioner Tom Moyane’s application to stop the Sars inquiry, saying this is not in the interest of justice.

Moyane is challenging the fairness of the inquiry.

Gartner is reported to have extended 40-percent of its R200-million Sars contract to Rangewave, a company linked to a long-time friend of Tom Moyane, Patrick Monyeki.

Related video click below: