In view of a plethora of recent media reports as well as comments made at the conference on tax evasion and illicit financial flows (details furnished) which refer to the risk of the implosion of the SA Revenue Service (Sars), as evidenced in the recent under-recovery of tax revenue, particularly personal income tax, (a) what has he found to be the root cause of Sars’ loss of (i) institutional capacity and (ii) its integrity and (b) what actions should be taken in the national interest to rectify the situation?