Nkandla architect admits he didn't file taxes
Minenhle Makhanya has pleaded guilty to failing to submit his tax returns during the same period he earned R17 million upgrading the president's private home.
|||Durban – The controversial “Nkandla architect” has pleaded guilty to failing to submit his tax returns during the same period he was netting millions building the president’s private home.
Now, self-employed Minenhle Makhanya, 45, who scored R17 million out of the highly controversial R240-million contract to build massive extensions and “security features” to President Jacob Zuma’s private home, is claiming he has no money.
With sentence handed down by magistrate Melanie de Jager on Tuesday in the tiny tucked away Court Room 15 at the mega-court complex in the heart of Durban, she told Makhanya that taxes were paid not only “just to fund Nkandla and fancy cars”.
“The offence is very serious. Taxes fund state employees such as the courts. In order to do this people must pay their taxes. Without [tax] this could not be the beautiful country we live in. We need to keep our country going. [Not paying tax] is not for the privileged few,” said De Jager.
When Pinetown-based Makhanya was asked if he could afford a fine, he said he “would need to sell some tools”.
“The court has taken into account your personal circumstances. You pleaded guilty to the offence and did not waste the court’s time. Furthermore it was taken into account that you are married, have children that you are taking care of, your wife is the only one employed and you haven’t been receiving an income for the last 18 months. You have also since submitted the outstanding personal tax returns,” said De Jager.
He was sentenced to a R10,000 fine, or six months imprisonment, wholly suspended for five years.
Makhanya stood solemnly on the stand in a brown jacket and slacks and was cleanly shaven, with his head facing down throughout the proceedings.
Besides the court staff and his lawyer, only three other people were in the courtroom, one being his wife and the other two for a drunk-driving offence.
In Makhanya’s hand-written admittance of guilt statement signed 8 March 2016, he said: “I plea guilty to the charges. I plead guilty freely and voluntarily and without any undue influence. I did unlawfully and without just cause neglect to submit my income tax [for years 2008-2014).”
He said his failure to meet his tax obligations rested with his “book-keeper” who had been “designated” to make his submissions although the same “book-keeper” was not “…authorised” in terms of the Income Tax Act to do so. He said he did not check if the “bookkeeper” had submitted his returns.
According to court records, Makhanya first appeared in the court on December 14, 2015, and appeared again on 15 February 2016.
According to the charge sheet, “SARS has not received the accused’s income tax returns within a specified period for the years from 2008-2015”.
He was found to have contravened, seven times, various sections of the Tax Administration Act and Income Tax Act. His last tax return not filed was for the 2014 tax year due on 30 January 2015.
The court orderly immediately took Makhanya’s fingerprints after sentencing.
Despite his obvious tax woes, Makhanya is currently facing a civil court claim by the Special Investigating Unit in the Pietermaritzburg High Court. The unit, which acts on proclamations by President Jacob Zuma, is seeking R155-million from him for his alleged excessive spending on Zuma’s Nkandla homestead.
African News Agency
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