14 October 2016 - Enhanced Dispute management process for VAT
On 14 October 2016, SARS implemented an enhanced dispute management process for Value-Added Tax (VAT) in addition to Income Tax on the electronic platform. The improved system will enable VAT vendors to lodge disputes via eFiling and electronically at any SARS branch, manage their tax profiles better and also have a consolidated view of all lodged disputes for PIT, CIT and now VAT.
The benefits are:
- Ability to lodge disputes electronically via eFiling or at SARS branches (including Request for Remission, Notices of Objection, and Notice of Appeal)
- Ability to view all dispute correspondence, and where applicable upload supporting documents
- Taxpayers will have a consolidated view of all their disputes lodged across core taxes on eFiling
- Outcome letters for Request for Remission (RFR) and Notice of Objection (NOO) are conveniently available on the taxpayer’s eFiling profile
- Receive updates on dispute outcomes via eFiling for Request for Remission and Objections lodged
- Ability to dispute multiple periods on one form up to a maximum of 12 periods
- Ability to submit disputes will be based on the user submission rights.
For more info, see our guide on How to submit a dispute for Income Tax and VAT via eFiling.
Taxpayers can also now request suspension of payment electronically at the same time as filing the Dispute. Please note that Suspension of Payment can be requested with Dispute at a Branch and not via eFiling as eFiling only supports standalone Suspension of Payment and not Suspension with Dispute. Please note that the RFR form and the Dispute forms can no longer be requested via the SARS Contact Centre.
As a taxpayer you have the right to lodge an objection against an assessment or a decision by SARS.
An assessment or decision by SARS should be accompanied by reasons. If you haven’t been given reasons you’re allowed to request these from SARS before lodging an objection.
- Please note that if you dispute an assessment for a specific tax period, multiple source codes / fields can be included in a single dispute. More than one dispute for the same tax period may lead to longer processing times.
- Objections must always be submitted with the relevant material (supporting documents) showing your reasons/grounds for lodging an objection.
- An objection must be sent within 30 business days of the assessment being issued.
- If you couldn’t send the objection within 30 business days from assessment, when lodging the objection you must send the reasons you want us to consider for the late objection.
- For an Admin Penalty, a Request for Remission (RFR01) must be submitted before an objection.
- For Income Tax Penalty and Interest, a manual Request for Waiver must be sent before an objection.
Prescribed forms and submission channels for objections:
It is important that an objection is sent on the correct form. Failure to do so will result in the objection being rejected.
There are two forms that are prescribed for objections, namely, Notice of Objection (DISP01) and ADR1
The Notice of Objection (DISP01) is relevant to the following types of tax:
- Personal Income Tax (Administrative Penalties and Assessed Tax including additional/understatement tax
- Corporate Income Tax (CIT) (Assessed Tax including additional tax only)
And may be requested and submitted:
The Alternative Dispute Resolution for Objection (ADR1) is applicable to the following tax types:
- PAYE assessment
- Income Tax for Trusts
- Secondary Tax on Companies (STC) prior to 1 April 2011 and
- Other taxes (e.g. Donations Tax, Dividends Tax, etc.).
And may be downloaded or requested from any SARS branch and may be submitted:
Remember - An objection must be submitted within 30 business days after the date of the assessment or SARS decision.
Top Tip: Where the lodging of an objection was done after the request for reasons, the objection must be submitted within 30 business days after:
- The date of the notice sent by SARS that provides adequate reasons or
- The date SARS provided you with the reasons.
To access this page in different languages click on the links below: