This 2026 article is an update of the original article published in July 2019. The original article can be accessed here: https://fincor.co.za/sars-and-tax-assessment-prescriptions/ A second article can be found here: https://fincor.co.za/tax-returns-and-the-3-year-limitation-period-of-the-tax-administration-act/ Before the Tax Administration Act, 28 of 2011 came into effect on 1 October 2012, section 11(a)(iii) of the Prescription…

SECTION 74(2) OF THE VALUE-ADDED TAX ACT, 1991 (ACT NO. 89 OF 1991) The National Treasury and the South African Revenue Service (SARS) published, for public comment, the draft amendments to the Regulations on the Domestic Reverse Charge (DRC) relating to valuable metal, issued in terms of section 74(2) of…

This second of two articles summarises changes made in the 2026/2027 financial year for companies as published by SARS. The first article summarised the changes made for Individuals and Trusts. INCOME TAX: COMPANIES The tax rate for companies applies to years of assessment that end on any date from 1…

This first of two articles summarises changes made in the 2026/2027 financial year for individuals as published by SARS. The second article will summarise the changes made for companies. INCOME TAX: INDIVIDUALS AND TRUSTS Tax rates from 1 March 2026 to 28 February 2027 Individuals and Special Trusts Taxable Income…

It's that time of the year again when we need to prepare our annual tax return for SARS to process. The details of who must do so is defined in Section 25 of the Tax Administration Act as provided below. General (1) Any term or expression in this notice to…

A previous article named "Ceasing to be an SA Tax Resident" should also be read in conjunction with this article. SARS released an updated guide effective 17 April 2026 named "CEASE TO BE RESIDENT AND EXPIRY OF VISA" with basic information relating to the tax directive applications for ceasing to…

Information in this article was sourced from SARS INTERPRETATION NOTE 51 (Issue 6) dated 04 October 2023 related to the Income Tax Act 58 OF 1962, sections 11, 11A, and 23. In this note, unless the context indicates otherwise: "Pre-trade expenses” mean expenditures and losses actually incurred by a person…

INCOME TAX ACT 58 OF 1962 (the Act) SECTIONS 11(a), 23(g), 55, and 58 of the ActVALUE-ADDED TAX ACT 89 of 1991 (VAT Act) SECTIONS 1, DEFINITION OF “ENTERPRISE” AND “ENTERTAINMENT” AND 17(2)(a) OF THE VAT ACT SUBJECT: REHABILITATION OF MINING PROPERTY This is a binding private ruling between SARS,…

One important threshold affecting South African expatriates, the foreign employment income tax exemption, has not been amended in South Africa's 2026 budget. Under section 10(1)(o)(ii) of the Income Tax Act, South African tax residents earning abroad may exempt up to R1.25 million of foreign employment income from South African tax…

A vendor’s VAT registration may be cancelled by the Commissioner or on written request by the vendor if certain requirements are met. When a vendor ceases to be registered for VAT, section 8(2) of the Value-Added Tax Act (VAT Act) deems certain goods and rights forming part of the assets…