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Makwakwa: SARS inquiry biased

The former head of business and individual taxes at the SA Revenue Service (SARS), Jonas Makwakwa, has accused the Nugent Inquiry of bias and pursuing a “particular narrative” aligned with a particular grouping.

Makwakwa has also taken umbrage at the conduct of evidence leaders, especially Carol Steinberg, saying she is “hellbent on pushing and ensuring that a particular outcome emerges at the end, if not concluded and sealed already”.

The allegations are contained in a letter sent to Judge Robert Nugent on September 17, ahead of the start of the commission next week. 

Makwakwa had previously written to Nugent asking him to subpoena SARS to release information which he said he needed to clarify the "lies" that have been presented to the inquiry about him. His request was turned down.

“Even ordinary members of the public can see that your evidence leaders, especially advocate Steinberg, are more geared towards a particular narrative” other than an impartial and independent way of seeking the truth, claims Makwakwa.

In June, the SARS inquiry heard that Makwakwa actively tried to interfere with the tax matters of high-profile or VIP taxpayers, to the indignation of other tax officials, who claimed he had "no business" instructing individuals how to deal with these matters.

He quit SARS in mid-March after coming under heavy pressure to resign. He was previously suspended from the revenue service in September 2016 and faced a disciplinary hearing. The process found him not guilty of any wrong doing, and he returned to the tax agency in November 2017.

He later resigned in March 2018.

"I want to come and present evidence"

In his letter, Makwakwa raises a litany of misgivings about the work of the commission probing tax administration and governance at SARS.

The commission has so far heard of the enormous power consolidation under Makwakwa’s business and individual taxes (BAIT) division, following a new operational model drafted by consultancy group Bain & Company.

The business structure implemented in 2014 was ordered by suspend tax boss Tom Moyane.

Makwakwa also argues that the SARS governance challenges started in 2009, not in 2014 after the overhaul of the operating model.

“I once again want to reiterate that I want to come and present evidence to your commission, so that I demystify the concerted, rehearsed lies told to your commission,” he said.

He further claims that SARS employees who have appeared before the inquiry had been coached to present a preferred narrative of the story.

Judge Nugent has said that he would not be discussing matters relating to the inquiry with media. The inquiry will resume on September 25.

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