TAX3704
EXAM
PACK
2025
, lOMoARcPSD|19139637
TAX3704 OCT/NOV 2024
UNIVERSITY EXAMINATIONS CONFIDENTIAL
October/November 2024
TAX3704
TAX ADMINISTRATION
100 Marks
Duration 2 Hours
(plus 30 minutes uploading)
OPEN BOOK EXAMINATION
EXAMINERS:
First Examiner: Prof MJ Nieuwoudt
Second Examiner: Adv WR Uys
This paper consists of seven (7) pages.
Instructions:
❖ You may access your study material but not copy it verbatim. You must provide your answers in
your own words. Copying your study material verbatim is considered cheating; no marks will be
allocated.
❖ This exam is proctored.
❖ Start each question on a separate page.
❖ Using the Invigilator App on your cell phone and scan the QR code.
Submission instructions:
❖ The exam paper will remain available throughout the examination session.
❖ Commence the submission (uploading) of your answer file as soon as you have completed the
exam. Start uploading your answer file at the latest 2 hours after the start of the examination.
❖ You MUST submit your answers in ONE pdf file.
❖ The file name of your PDF document must be in the following format:
❖ Student number, space, TAX3704. For example, 33445566 TAX3704.
Proposed timetable:
Question Topic Marks Minutes
Q1 part A Tax Ombud 13 16
Q1 part B Tax Practitioners 10 12
Q1 part C Inspection v Inquiry 10 12
Q1 part D Advance Rulings 12 14
Q2 part A Write of or Compromise of Tax debts 20 24
Q2 part B Penalties 25 30
Q2 part C Taxpayer Account and Allocation of Payments 10 12
Total 100 120
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,lOMoARcPSD|19139637
TAX3704 OCT/NOV 2024
Page 2 of 7
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TAX3704 OCT/NOV 2024
QUESTION 1 (45 marks)
PART A (13 marks)
According to the Tax Administration Act (TAA), the Tax Ombud is mandated to investigate
problems taxpayers experience with the South African Revenue Service (SARS),
namely: service, procedural, or administrative matters.
However, the Tax Ombud may not review legislation, tax policy, or matters subject to objection
or appeal.
The Tax Ombud received the following four complaints during September 2024:
Issue 1: The taxpayer filed a complaint because SARS is not paying the taxpayer’s Value
Added Tax (VAT) refund. The amount is not under dispute, but it is already six months overdue.
The taxpayer is only one of several taxpayers complaining about the issue.
Issue 2: The taxpayer won its case against SARS in the Tax Court. SARS decides to appeal
the Tax Court’s decision. However, in addition to believing that SARS is acting unfairly, the
taxpayer believes SARS is aware they do not have the money to defend themselves.
Issue 3: Several taxpayers complained about SARS not complying with the TAA deadlines.
Issue 4: The taxpayer was assessed by SARS on the sale of an artwork. The taxpayer
complained about SARS's decision because the artwork is a personal use asset and excluded
from capital gains tax.
REQUIRED
You must decide if the Tax Ombud has the authority to solve the four issues stated above
and motivate your answer. Use the table format below:
NOTE: For purposes of this paper, you may refer to systemic matters and do not have to
differentiate between service, procedural or administrative matters.
Issue It is within the Tax Provide one reason for your answer in a Marks
Ombud’s authority to short sentence. Refer to the NOTE
review the complaint. above (2 marks per reason)
YES/NO
1 3
2 3
3 3
4 4
PART B (10 marks)
NOTE: This is a practical question.
The following questions relate to tax practitioners. (Refer to next page.)
Page 3 of 7
EXAM
PACK
2025
, lOMoARcPSD|19139637
TAX3704 OCT/NOV 2024
UNIVERSITY EXAMINATIONS CONFIDENTIAL
October/November 2024
TAX3704
TAX ADMINISTRATION
100 Marks
Duration 2 Hours
(plus 30 minutes uploading)
OPEN BOOK EXAMINATION
EXAMINERS:
First Examiner: Prof MJ Nieuwoudt
Second Examiner: Adv WR Uys
This paper consists of seven (7) pages.
Instructions:
❖ You may access your study material but not copy it verbatim. You must provide your answers in
your own words. Copying your study material verbatim is considered cheating; no marks will be
allocated.
❖ This exam is proctored.
❖ Start each question on a separate page.
❖ Using the Invigilator App on your cell phone and scan the QR code.
Submission instructions:
❖ The exam paper will remain available throughout the examination session.
❖ Commence the submission (uploading) of your answer file as soon as you have completed the
exam. Start uploading your answer file at the latest 2 hours after the start of the examination.
❖ You MUST submit your answers in ONE pdf file.
❖ The file name of your PDF document must be in the following format:
❖ Student number, space, TAX3704. For example, 33445566 TAX3704.
Proposed timetable:
Question Topic Marks Minutes
Q1 part A Tax Ombud 13 16
Q1 part B Tax Practitioners 10 12
Q1 part C Inspection v Inquiry 10 12
Q1 part D Advance Rulings 12 14
Q2 part A Write of or Compromise of Tax debts 20 24
Q2 part B Penalties 25 30
Q2 part C Taxpayer Account and Allocation of Payments 10 12
Total 100 120
Page 1 of 7
,lOMoARcPSD|19139637
TAX3704 OCT/NOV 2024
Page 2 of 7
, lOMoARcPSD|19139637
TAX3704 OCT/NOV 2024
QUESTION 1 (45 marks)
PART A (13 marks)
According to the Tax Administration Act (TAA), the Tax Ombud is mandated to investigate
problems taxpayers experience with the South African Revenue Service (SARS),
namely: service, procedural, or administrative matters.
However, the Tax Ombud may not review legislation, tax policy, or matters subject to objection
or appeal.
The Tax Ombud received the following four complaints during September 2024:
Issue 1: The taxpayer filed a complaint because SARS is not paying the taxpayer’s Value
Added Tax (VAT) refund. The amount is not under dispute, but it is already six months overdue.
The taxpayer is only one of several taxpayers complaining about the issue.
Issue 2: The taxpayer won its case against SARS in the Tax Court. SARS decides to appeal
the Tax Court’s decision. However, in addition to believing that SARS is acting unfairly, the
taxpayer believes SARS is aware they do not have the money to defend themselves.
Issue 3: Several taxpayers complained about SARS not complying with the TAA deadlines.
Issue 4: The taxpayer was assessed by SARS on the sale of an artwork. The taxpayer
complained about SARS's decision because the artwork is a personal use asset and excluded
from capital gains tax.
REQUIRED
You must decide if the Tax Ombud has the authority to solve the four issues stated above
and motivate your answer. Use the table format below:
NOTE: For purposes of this paper, you may refer to systemic matters and do not have to
differentiate between service, procedural or administrative matters.
Issue It is within the Tax Provide one reason for your answer in a Marks
Ombud’s authority to short sentence. Refer to the NOTE
review the complaint. above (2 marks per reason)
YES/NO
1 3
2 3
3 3
4 4
PART B (10 marks)
NOTE: This is a practical question.
The following questions relate to tax practitioners. (Refer to next page.)
Page 3 of 7
