I have a client where we submitted a NOA on 21/08/2019 to which we've had no feedback. We have followed up twice and SARS helpdesk escalated the case twice and i've lodged a complaint in April 2019. With the webinar presented last week rule 52 or 56 was d
Important:
This answer is based on tax law for the tax year ending 28 February 2020.
Answer:
In this instance the 60-day period, see rule 9(1) has not lapsed yet. In terms of this subrule, “SARS must notify the taxpayer of the allowance or disallowance of the objection and the basis thereof under section 106(2) of the Act within 60 days after delivery of the taxpayer's objection”. We accept that SARS didn’t request supporting documents under rule 8.
You can find the rules at http://www.lawsofsouthafrica.up.ac.za/index.php/current-legislation or on SARS’s website. On laws of south africa, click on “Revenue and Finance”, then on “Tax Administration Act 28 of 2011” and finally on “Regulations and Notices”. Click on 11 July 2014, or notice 550, and the pdf version of the Gazette will open. For ease of reference we copied the rule below:
Rule 56. Application for default judgment in the event of non-compliance with rules
(1) If a party has failed to comply with a period or obligation prescribed under these rules or an order by the tax court under this Part, the other party may-
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deliver a notice to the defaulting party informing the party of the intention to apply to the tax court for a final order under section 129(2) of the Act in the event that the defaulting party fails to remedy the default within 15 days of delivery of the notice; and
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if the defaulting party fails to remedy the default within the prescribed period, apply, on notice to the defaulting party, to the tax court for a final order under section 129(2).
(2) The tax court may, on hearing the application-
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in the absence of good cause shown by the defaulting party for the default in issue make an order under section 129(2); or
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make an order compelling the defaulting party to comply with the relevant requirement within such time as the court considers appropriate and, if the defaulting party fails to abide by the court's order by the due date, make an order under section 129(2) without further notice to the defaulting party.
Note, the notice must be delivered to the address that SARS has specified under these rules or the Commissioner has specified by public notice as the address at which the documents must be delivered to SARS. See the SARS guide on dispute resolution for the addresses (email).