On Tuesday afternoon, the South African Revenue Service (Sars) conducted a raid on the Durban mansion of Shauwn Mkhize, popularly known as “MaMkhize.” The high-profile businesswoman and owner of the Royal AM soccer club is reported to owe Sars R37 million in back taxes.
According to TimesLIVE, the raid on Mkhize’s La Lucia property was carried out after Sars secured a preservation order and a search-and-seizure warrant from the Durban High Court last Thursday.
Sars explained the operation as a vital measure to protect assets and gather evidence in their case against Mkhize and others. “The orders were obtained to prevent the dissipation of realisable assets which could hinder the collection of taxes and to secure evidence of potential noncompliance with tax laws administered by the Sars commissioner,” Sars stated.
The tax authority emphasised that this raid is part of a broader effort to crack down on noncompliance, particularly in the construction industry. “Over the past few years, Sars has been investigating and cracking down on the construction industry so that it complies with tax laws. This enforcement action is one of many steps Sars has taken in collaboration with the SAPS and the [Hawks] to uphold the integrity of our tax system.”
Sars commissioner Edward Kieswetter reinforced the agency’s commitment to enforcing tax laws without bias. “No one is above the law. It is critically important that Sars acts emphatically to ensure all meet their legal obligations. Today’s search-and-seizure operation must communicate an unambiguous message to all that law enforcement agencies will act to stop lawlessness,” Kieswetter said.
He also highlighted the importance of tax compliance in supporting vulnerable communities.“The most vulnerable in our society, the aged, the children, depend on the state through taxes to assuage and mitigate poverty, unemployment and hunger. Any wilful defiance of the law will be resisted.”
KwaZulu-Natal police spokesperson Colonel Robert Netshiunda confirmed to TimesLIVE that police accompanied Sars officials to the home of Mkhize’s son, Andile Mpisane, during the operation.