What’s New at SARS

06 March 2023 –SARS confirms that it has responded to the request by the leader of the Democratic Alliance, Mr John Steenhuisen, made in terms of section 18(1) of the Promotion of Access to Information Act (PAIA) regarding the declaration of a certain traveller.

The SARS Information Officer, after an extensive search for the record in various SARS Passenger Processing Systems, and engagements with the relevant business units within SARS which he believed may be in custody of and/ or be in possession of and/or have knowledge of the records requested, was advised that the record could not be found and /or may not be in existence.

The SARS Information Officer informed Mr Steenhuisen of the process followed, and accordingly, notified Mr Steenhuisen in terms of section 23(1) of PAIA. That SARS is not in possession of said record.

SARS exercises its mandate without fear, favour, or prejudice in all matters with which it deals. It will continue to do so in this matter. To that end, SARS will continue to comply with the provisions of Section 23(4) of PAIA. If the record in question is found after 5 March 2023, Mr Steenhuisen will be given access to the record unless access is refused on a ground for refusal contemplated in Chapter 4 of PAIA.

For further information, please contact [email protected]

3 March 2023 – As communicated earlier this week, achieving our Vision 2024 of a smart, modern SARS with unquestionable integrity that is trusted and admired is of paramount importance. Pivotal to the delivery of our vision are our digital platforms & technology infrastructure. In order to provide clarity & certainty, make it easy for taxpayers & traders to comply with their obligations and building public trust and confidence, our technology assets have to demonstrate the highest levels of availability, robustness and security.

Pursuant to our Vision and Strategic Objectives, which include modernising our systems to provide Digital and Streamlined online services, we are hard at work ensuring that our digital platforms & technology infrastructure are available, robust & secure, by performing regular upgrades, enhancements and maintenance.

In the light of the above, system upgrades are scheduled for Friday, 3 March from 20:30 until Saturday, 4 March 06:00. During this time various services on eFiling may not be available.

3 March 2023 – The Minister of Finance has approved the new table of rates per kilometre for motor vehicles in respect of the 2024 year of assessment.

The Commissioner of SARS has determined the daily amount for expenditure in respect of meals and incidental costs in the Republic of South Africa in respect of the 2024 year of assessment, for purposes of section 8(1) of the Income Tax Act No. 58 of 1962. The daily amount for travel outside the Republic remains unchanged from 1 March 2019.

The external guide and annexure have been updated.

• PAYE-GEN-01-G03 – Guide for Employers in respect of Allowances – External Guide

3 March 2023 – Interface specification version 6.503 trade testing dates and software implementation

SARS will introduce enhancements to the Tax Directives process as indicated in the IBIR-006 Tax Directives Interface Specification Version 6.503.  The trade testing dates are still to be confirmed and the implementation of the software is planned for the first quarter of the 2023/2024 financial year.  You will receive communication with regards to the exact dates for trade testing and the implementation date close to the time.

The Tax Directives Interface Specification is available on the SARS website www.sars.gov.za  and you are encouraged to review it prior to testing.

Please follow these steps to submit test files:

Step 1: Before testing can commence, you will need to email 10 taxpayer reference numbers to [email protected]  to ensure the numbers are active.  In the email subject line, use “Tax reference numbers for Trade Testing”. A maximum of 10 taxpayer reference numbers will be allowed.

Step 2: You will be notified via the same email address to confirm when testing may commence.

For trade testing queries please email [email protected]

3 March 2023 – Tax Administration Act, 2011: Publication details for regulation R3118, as published in the Government Gazette 48165 of 3 March 2023, are now available. Th regulation relates to the regulations for purposes of paragraph (a) of the definition of “international tax standard” in section 1 of the Tax Administration Act, 2011 (Act No. 28 of 2011), promulgated under section 257 of the Act, on the date that the mandatory disclosure rules (MDR) take effect.

3 March 2023 – Income Tax Act, 1962: Publication details for income tax notices 3112 and 3113, as published in Government Gazette 48162 of 3 March 2023, are now available. These notices relate to the –

• fixing of rate per kilometre in respect of motor vehicles in terms of section 8(1)(b)(ii) and (iii) (Notice 3112); and
• determination of the daily amount in respect of meals and incidental costs for purposes of section 8(1)(c)(ii) (daily & overnight allowance) (Notice 3113).

3 March 2023 – National Treasury and the South African Revenue Service have published the 15^th annual edition of the Tax Statistics.

The 2022 edition provides an overview of tax revenue collections and tax return information for the 2018 to 2022 tax years, as well as the 2017/18 to 2021/22 fiscal years.

See the full media statement here.

To see the Tax Statistics publications, visit the Tax Statistics webpage.

3 March 2023 – The Government Connect Issue 8 newsletter is now available.

2 March 2023 – The mobile tax unit schedules for KwaZulu-Natal during March 2023 have been published.

2 March 2023 – Due to a technical problem, a number of calls waiting in the SARS Contact Centre queue were dropped. Our apologies for the inconvenience caused. We request these callers to call again, the problem has been resolved.

1 March 2023 – Tax Administration Act, 2011: The regulation, scheduled for publication in the Government Gazette, relates to the –

• regulations for purposes of paragraph (a) of the definition of “international tax standard” in section 1 of the Tax Administration Act, 2011 (Act No. 28 of 2011), promulgated under section 257 of the Act, on the date that the mandatory disclosure rules (MDR) take effect.

Publication details will follow in due course

1 March 2023 – Achieving our Vision 2024 of a smart, modern SARS with unquestionable integrity that is trusted and admired is of paramount importance. Pivotal to the delivery of our vision are our digital platforms & technology infrastructure. In order to provide clarity & certainty, make it easy for taxpayers & traders to comply with their obligations and building public trust and confidence, our technology assets have to demonstrate the highest levels of availability, robustness and security.

Pursuant to our Vision and Strategic Objectives, which include modernising our systems to provide Digital and Streamlined online services, we are hard at work ensuring that our digital platforms & technology infrastructure are available, robust & secure, by performing regular upgrades, enhancements and maintenance.

In the light of the above, system upgrades are scheduled for Friday, 3 March from 20:30 until Saturday, 4 March 06:00. During this time various services on eFiling may not be available.

1 March 2023 – SARS is currently experiencing high call volumes. To book an appointment please make use of our Digital Channels by clicking on the SARS Booking System.

For more information on how to complete the online booking form click on  Guide on Book an Appointment at a SARS Branch.

28 February 2023 – See our Estate Duty webpage for information and clarification on whether the executor can be held personally liable for estate duty and when and how to request the Deceased Estate Compliance (DEC) letter.

28 February 2023 – Customs Weekly List of Unentered Goods

28 February 2023 – During the registration process on eFiling, Non-resident (Foreign) Trusts and Collective Investment Schemes Trust (CIS) are now able to register without the mandatory Trust registration number (as indicated on the Letter of Authority (LOA)).

A dropdown was implemented to allow the user to select the Trust Type first. The following Trust types will still be required to provide a Trust registration number: Inter vivos Trusts, Testamentary Trusts, Estate CGT Trusts and Special Trusts. For more information see the updated Guide on how to Register for eFiling and Manage Your User Profile.

28 February 2023 – SARS today releases trade statistics for January 2023 recording a preliminary trade balance deficit of R23.05 billion. The R23.05 billion preliminary trade balance deficit for January 2023 is attributable to exports of R139.36 billion and imports of R162.41 billion.

See the full media release here.

Visit the Trade Statistics webpage.

28 February 2023 – The Guide for Transfer Duty via eFiling has been updated with the new tax rates.

28 February 2023 – The new online Traveller Declaration System was successfully implemented on 29 November 2022 as phase 1 pilot of the system at King Shaka International Airport (KSIA).

The next phase of the implementation is planned at all airports, starting with Cape Town International Airport on 28 February 2023, O.R. Tambo International Airport on 23 March 2023 and other airports in the second and third quarters of 2023, as well as land ports, namely Beit Bridge and Skilpadshek. The Cape Town Seaport is also in line to implement the system during the last quarter of 2023.

The system will continue to be used on a voluntary basis during the pilot phase until further notice. The results of the pilot project will be applied as SARS rolls out the system in line with Customs legislation.

The system allows travellers, including South African citizens and residents, leaving or entering South Africa by air to complete and submit an online traveller declaration and receive electronic confirmation thereof before they travel. Travellers who are travelling with children or infants will also need to complete a declaration on their behalf. Watch our short Traveller Declaration System video on the SARS TV channel.

For more information, visit the Traveller Declaration webpage.

27 February 2023 – The South African Revenue Service’s National Customs Enforcement Team working together with the South African Police Service and South African Defence Force over the weekend of 25-26 February intercepted truckloads of illicit cigarettes, based on intelligence received.

This is part of ongoing efforts to enhance the effectiveness of Customs in combating illicit trade, particularly in tobacco and cigarette. The joint intervention took place in areas and farms along South Africa’s borders. These significant detections involving cross-border smuggling are as follows:

• A total 1185 master cases of illicit cigarettes with brands of Remington Gold, Chelsea and Royal Express, worth millions, were detained.
• Four people were arrested and criminal cases opened with regard to dealing in the smuggling of illicit cigarettes.
• Further, 4 trucks, one bakkie and one tractor with a trailer, which were used to carry the illicit cigarettes, were detained worth millions in estimated value.

The outcome of this special operation confirms that since the syndicated investigation work that SARS has been doing over the past three years in the tobacco and cigarette industry, there is a shift to increased cross-border smuggling. In this case, local manufacturers linked to the cigarette brands will be engaged as part of our ongoing investigations as it is known that these cigarettes originate from outside South Africa.

Furthermore, it justifies a conclusion, based on trends observed, that on average, over 500 people cross the border on any given day, with each person smuggling at least two master cases of illicit cigarettes on their backs. These cigarettes are then loaded into trucks, some owned by South Africans, and small vehicles which use alternative routes alongside the border and in collusion with some local farmers with to reach their intended destinations for distribution on the local market.

SARS will continue enhancing its Customs Enforcement capacity and capability to deal with illicit trade in collaboration with other law enforcement agencies aimed at improving the tax and Customs ecosystem and protecting the sovereignty of the Republic of South Africa, by making it hard and costly for traders and taxpayers who are wilfully, criminally and intentionally non-compliant.

SARS Commissioner Mr Edward Kieswetter lauded the joint efforts of the law enforcement agencies that led to this successful operation. He expressed his deep concern at the alleged involvement of many syndicates in these operations, within the bordering farming communities, including those who are using their properties and vehicles in collusion with these syndicates

“We will use all information gathered by enforcement agencies to follow up, and prosecute where necessary, those who are involved in these syndicated crimes. All those who are involved, irrespective of their nationality, will face the full might of the law. We will continue to carry out our enforcement work without fear, favour or prejudice to protect local industries and promote economic development,” Mr Kieswetter said.