Jan
26
Written by:
bloguser@finvision.co.za
Thursday, January 26, 2012 4:26 PM
Especially for those of us who have spent time in the employment of SARS, we are well aware of the SARS practice to withhold refunds until well into April or early May. The extent of the withholding will largely be dictated by the progress that has been made by SARS in achieving its target.
On a vendor enquiring as to the unreasonable delay in the processing of a refund, typical responses from SARS will include the extra measures needed to be taken in light of an increase in fraudulent claims, the requirement to reconfirm vendor banking details which have mysteriously disappeared off the system, and that PAYE return for July 2008 which is reflected as outstanding on the SARS system, even though you are in possession of the acknowledgement of receipt thereof.
Keep the above in mind when including Vat refunds in your cashflow projections. You have been warned.