SARS Hits Record R2.3 Trillion As Ramaphosa Says Trust In The State Is Being Rebuilt

South Africans woke up this week to a rare piece of good news about a state institution that has not only recovered from years of instability but has surged to record performance. The South African Revenue Service has collected R2.3 trillion in the last financial year, the highest in its history. According to President Cyril Ramaphosa, this milestone is more than a big number. It is proof that public trust can be rebuilt when an institution is restored properly, from its leadership to its systems.

A Visit To The Nerve Centre Of A Rebuilt Institution

The President visited the SARS National Command Centre in Tshwane last week to congratulate the teams behind the work. He described the revenue service as a living example of what capable leadership and long term reforms can achieve.

In his weekly letter, Ramaphosa painted SARS as a model for a functioning state. He reminded South Africans that every rand collected eventually returns to communities as social grants, school nutrition funding, clinics, infrastructure repairs, and all the everyday services people rely on.

From State Capture To Stability

To understand how significant this turnaround is, it helps to remember where SARS once stood. The agency was heavily compromised during the state capture era, with key units dismantled, critical skills driven out, and leadership battles weakening performance. Compliance dropped. Revenue targets became harder to reach. Public confidence sank.

Back in 2018, Ramaphosa appointed the Nugent Commission, led by Judge Robert Nugent, to investigate exactly what had gone wrong. The inquiry exposed deep structural sabotage and recommended a complete rebuild.

Seven years later, nearly all those recommendations have been implemented. Leadership structures were restored, specialist enforcement units were reconstituted, and a major technological overhaul modernised how taxpayers interact with SARS.

The Trust Factor Makes Its Comeback

One of the most striking signs of progress is public trust. According to the President, trust in SARS has risen from 48 percent five years ago to around 75 percent today. It is a dramatic shift, especially in a country where confidence in state institutions has been difficult to restore.

This recovery also ties into broader national successes, such as South Africa’s removal from the Financial Action Task Force grey list and an improved credit rating from S&P. Ramaphosa argues that honest, efficient tax administration makes the country a far more attractive place for investment.

Why It Matters For Ordinary South Africans

For most people, tax talk can feel removed from everyday life. But when SARS works well, communities feel the difference. It means money is available for social grants, clinics, school upgrades, and local infrastructure without excessive borrowing or budget cuts.

It also creates predictability for businesses. Companies want assurance that the regulatory environment is stable, fair, and free from political interference. According to the President, SARS now sends exactly that message.

Rebuilding The State Is A Long Game

Ramaphosa reminds the country that the work is not finished. State capture eroded institutions over many years, and rebuilding them does not happen overnight. Commissions have made recommendations. Laws have been updated. Investigations and prosecutions are in motion. The broader project of restoring the state is still underway.

For now, SARS is the example of what success can look like. A once damaged institution has become one of the world’s most respected tax authorities again. And as the President frames it, the lesson is simple: with the right people, consistent reform, and a clear mission, it is possible to rebuild trust that once felt lost.

{Source:IOL}

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