a) The revenue estimates once confirmed during the February budget is usually adjusted twice thereafter, this is at the medium-term budget policy statement (MTBPS) and at the subsequent budget. The estimate is adjusted because generally the underlying macroeconomic assumptions may change positively or negatively within the course of a year. It is noteworthy that SARS revenue collections are published jointly by SARS and National Treasury as part of the annual tax statistics edition.
- During the financial year 2019/20, the original estimate was R1.422 trillion, this estimate was revised to R1.369 trillion at MTBPS and finally to R1.359 trillion at the subsequent budget. The revenue that was finally delivered over the full financial year was R1.356 trillion.
- The financial year 2020/21 started off with the revenue estimate of R1.425 trillion, this estimate was revised to R1.113 trillion at MTBPS and finally to R1.212 trillion at the subsequent budget. The revenue that was finally delivered over the full financial year was R1.249 trillion. It is noteworthy that this was a year in which COVID-19 significantly disrupted economic activities.
- The 2021/22 financial started off with the revenue estimate of R1.365 trillion, this estimate was revised to R1.485 trillion at MTBPS and finally to R1.547 trillion at the subsequent budget. The revenue that was finally collected over the full financial year was R1.567 trillion. The revenues had largely recovered to pre-COVID times over the period of this financial year.
- The 2022/23 financial started off with the revenue estimate of R1.598 trillion, this estimate was revised to R1.681 trillion at MTBPS and finally to R1.692 trillion at the subsequent budget. The revenue that was finally collected over the full financial year was R1.687 trillion.
- Finally, the 2023/24 financial started off with the revenue estimate of R1.788 trillion, this estimate was revised to R1.730 trillion at MTBPS and finally to R1.731 trillion at subsequent budget. The revenue that was finally collected over the full financial year was R1.741 trillion.
b) SARS has engaged with the ministry of finance and the Standing Committee on Finance with regards to underfunding. The ministry has afforded SARS additional funding albeit not adequate to close the identified underfunding. SARS will continue to seek efficiency gains within its allocated grant however it must be noted that additional funding is required not only to reverse the impact of extended underfunding of SARS but to also ensure that SARS is future proof through strategic modernisation.