Thabo Mofutsanyana District Municipality v Steyn-Enslin & Vennote and Others

The Thabo Mofutsanyana District Municipality instituted action against three registered regional services levy payers, seeking an order compelling them to render a true and proper statement of account, to debate such account, and to pay any regional services levies found to be due. The municipality relied on the Regional Services Council Act 109 of 1985 and its regulations. The respondents excepted to the particulars of claim on the basis that the municipality lacked statutory authority to demand accounts, debatement, or substantiating documents from levy payers in default. The Free State High Court upheld the exception, finding no cause of action disclosed. The municipality appealed to the Supreme Court of Appeal, arguing alternatively that the common law should be developed under s 39(2) of the Constitution to confer such powers on municipalities.

The appeal was dismissed with costs. The appellant was granted leave, if so advised, to give notice within 30 days of its intention to amend its particulars of claim.

The case clarifies the limits of municipal powers in enforcing regional services levies and affirms that municipalities cannot compel levy payers to render accounts or substantiate returns beyond what is expressly authorised by statute. It reinforces the principle that courts will not develop the common law where legislation clearly regulates the field, and it situates levy assessment authority firmly with SARS rather than local authorities.