Sunday Times reports that the SA Revenue Service (Sars) is said to have garnisheed the ANC's Independent Electoral Commission (IEC) allocation funds – taking away R17m meant for the governing party – in part-payment of the party's ballooning tax bill.
This has resulted in the ANC again failing to pay its employees their salaries on time last month. In a note, Luthuli House general manager Febe Potgieter told staff on Friday about the late payment: “Due to continued financial difficulties, this situation of uncertainty with regard to the exact date of payment of salaries is likely to continue for the coming three to six months.” According to party insiders, the ANC owes Sars millions, going back to when Jacob Zuma was its president and Zweli Mkhize was the ANC treasurer-general. The IEC allocates R168m a year to all political parties in parliament. The money is distributed quarterly and R17m was the ANC’s share for the first quarter. Apparently, the party failed to settle millions of rands in PAYE (pay as you earn) tax owed to Sars. The money was seemingly deducted from ANC employees’ wages, but not paid across to Sars. In effect, what is happening now is that Sars is taking the money directly from the IEC in the form of a garnishee arrangement.
- Read the full original of the report in the above regard by Kgothatso Madisa on page 1 of Sunday Times of 2 May 2021
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