R48m fraudsters arrested

THE ARREST of four people last week for alleged VAT fraud on cigarettes has sent out a strong message to industry. According to SA Revenue Service it was falsely claimed that certain consignments of cigarettes that did not in fact leave the country, had been exported. Products manufactured in South Africa destined for export are VAT zero-rated. The alleged fraud amounts to at least R48 million, according to SARS.

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