Malema faces R20m tax bill trial

EFF leader Julius Malema. Photo: Bongiwe Mchunu.

EFF leader Julius Malema. Photo: Bongiwe Mchunu.

Published Apr 30, 2016

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Pretoria - EFF leader Julius Malema and the South African Revenue Service (Sars) will meet face to face in court to fight it out over his alleged tax debt.

Judge Mabel Jansen, sitting in the high court in Pretoria, said on Friday the disputes in the tax saga were simply too vast, and it was impossible for her to come to a decision based on the conflicting facts before her.

Read:  Sars, Malema settle differences

She was giving her findings in Malema’s application for an order declaring that the agreement between him and Sars regarding his debt was binding.

Malema was put on terms by the taxman on how to pay his debt. He claimed he had paid up.

Sars cancelled the agreement, claiming Malema had not been frank about his assets, income and the source of the money used to repay some of the debt.

Judge Jansen said: “The issues should be referred to trial in order to obtain clarity regarding the correct facts upon which the matter should be adjudicated.”

The judge added that it was difficult for the court to decide on the conflicting versions set out in the affidavits.

She said she might come to the wrong conclusion, whereas a court that heard oral evidence presented by all the parties would be in a better position to get a clearer picture.

Malema’s lawyer, Tumi Mokoena, said he hoped the matter would be and resolved before the end of the year.

Sars said that Malema continued to owe about R20 million - R18m in taxes and R2m in interest - for the tax year 2005 to 2011.

The agreement Sars entered into with Malema on the terms and conditions on which he would pay off his debt, was cancelled last year.

Sars alleged that Malema had not played “open cards” regarding his assets and funds.

The agreement had included an undertaking by Malema to make a full and frank disclosure about his affairs.

Disputes arose between him and Sars regarding his financial affairs. The disputes related to the source of his funds and whether Malema had declared his income in full.

Malema said he had used about R4m in donations to settle part of his tax debt.

However, it was alleged that he had been unable to furnish Sars with the name of the donor and proof of payment.

Pretoria News

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