Guide to Change of Banking Details

Summary

The purpose of this Webpage is to assist individual taxpayers / representative taxpayers / employers / representative employers /VAT vendors / representative vendors and tax practitioners to understand their obligations when they need to change banking details at the South African Revenue Service (SARS).

This guide prescribes all the legal requirements and the manner in which a taxpayer can request a change in banking details.

General Information

Due to the immediate risk associated with the change of banking details and refunds being paid into incorrect bank accounts causing a revenue loss to SARS and unsuspecting taxpayers, it was decided to identify possible verification methods to eliminate fraud and streamline the process.

Change of bank details can be requested via one of the following channels:

• • On eFiling, by completing the Registration, Amendment and Verification form (RAV01) in the SARS Registered Details tab, Maintain SARS Registered Details menu;
  • For Personal Income Tax, individuals may change banking details when completing and submitting an individual Income Tax Return (ITR12);
  • SARS Mobile Tax units;
  • Via email for Exceptional Circumstances only; and
  • “In-Person” at the SARS Office, where it is impossible for the requestor to use electronic means, bookings may be made via the Make an appointment system or the SARS MobiApp

SARS will under no circumstances accept a request for a change of banking details, if the request is received via:

• • Telephone,
  • Facsimile,
  • Post

Taxpayers’ bank account details must comply with the following:

• • It must either be a South African cheque, savings or transmission account, and
  • The account must be in the name of the taxpayer.

Credit card, bond and foreign bank accounts are not permitted.

The change of banking details can be requested by:

• • Requestor with mandate: Personal Assistant / Clerk / Administrative officer to the tax practitioner, tax consultant, Director, Fund Administrator, Secretary, Attorney, Advocate, Legal Advisor, Auditor, Bookkeeper; etc. A requestor with a once off mandate will not be able to change banking details on eFiling if he / she is not linked to a tax practitioner on eFiling.
  • Representative: A representative must be a natural person, e.g. Treasurer, Partner, Public Officer, Member, Accounting officer, Curator, Liquidator, Executor, Director, Executor, etc. that has been registered as the official representative of a legal entity (such as a company) on the SARS system.
  • Tax Practitioner: A person registered with a controlling body and SARS. The person is assigned with a unique identification number (A SARS allocated PR number). Tax practitioners will still be required to present a valid POA if they act on behalf of an entity. Tax Practitioners that currently have active eFiling profiles for the represented entity will still have access to represented entity services.
• The requestor with a mandate can change banking details only for exceptional circumstances.
• Banking details will only be added or changed by a person other than the Taxpayer, Registered Representative or Registered Tax Practitioner, in the following exceptional circumstances:
  
  • Any estate;
  • Where the taxpayer is incapacitated / terminally ill;
  • Where the taxpayer is a non-resident (emigrant, expatriate, foreigner or SA citizen temporarily outside the Republic);
  • Where the taxpayer is imprisoned;
  • Where a trustee is appointed to act on behalf of an insolvent individual and / or trust;
  • Where the taxpayer is a minor child; and
  • Where the distance of the taxpayer from the SARS Office is more than 200km.
• The appointed person with a POA must therefore submit the taxpayer’s bank statement as well as the other required supporting documents.
• If the taxpayer is coded as a deceased estate, only the person appointed by the Master of the High Court with the letter of Authority or letter of Executorship can request the changes. However, authority can be delegated to a registered tax practitioner or an agent to act on behalf of the executor. The tax practitioner or agent must have POA from the executor and all required supporting documents for the change of banking details and authenticating the tax practitioner or agent.
  
  • An agent may include an attorney, auditor or trust company which in turn may nominate an employee to administer the estate.
  • The nominated employee is required to present a Power of Attorney (POA) to act on behalf of the executor.
• The SARS Power of Attorney form is available on the SARS website sars.gov.za.
• In the case where SARS does not have valid banking details and have valid cellular phone numbers and / or email addresses for taxpayers; notifications will be sent to taxpayers / representative taxpayers via SMS or email to submit valid banking details and the relevant supporting documents to SARS.

Corporate Saver Type of Accounts

• The corporate saver type of accounts must be accepted in all cases, excluding VAT.

The type of product and account type for the following banks are as follows:

1. • Investec – Corporate Cash Manager (CCM) – Current
   • Nedbank – Corporate Saver – Savings
   • Standard Bank- Third Party Fund Administration Account- Current

Note: SARS will be in discussions with all other banks in order to determine which Corporate Saver / Cash management products they offer in order to ensure that we can accommodate all banks.

Required Supporting Documentation to Request or Verify Banking Details

The requestor submitting the supporting documents for verification of bank details electronically must ensure:

• Verification of bank details:
  
  • The requestor submitting the supporting documents electronically must provide an image of himself / herself holding their proof of identity, as well as a written note containing the case number and the date on which the documents are uploaded to SARS. It is important that the requestor’s face, proof of identity and the note are clearly visible in the same picture. For an example of the type of image required, click here
• Request for changing bank details (exceptional circumstances):
  
  • The requestor submitting the supporting documents electronically must provide an image of himself/herself holding their proof of identity, as well as a written note, titled “Update my Details” and the date on which the documents are uploaded to SARS. It is important that the requestor’s face, proof of identity and the note are clearly visible in the same picture. For an example of the type of image required, click here
• In the following instances the requestor must also submit a selfie of the taxpayer:
  
  • Where the taxpayer is a non-resident (emigrant, expatriate, foreigner, or SA citizen temporarily outside the Republic).
  • Where the distance of the taxpayer from the SARS Office is more than 200km.

It is important that the requestor’s face, proof of identity and the note are clearly visible in the same picture. For an example of the type of image required, click here

When SARS verifies your bank details and require you to submit supporting documents, you may submit via the following online channels:

• • eFiling (preferred channel), for registered eFilers; and
  • SARS Online Query System function on the SARS website, click here.

Note: Please refer to the Supporting Document list available on the SARS website (www.sars.gov.za). The path to the Supporting Documents list is: Individuals>I need help with my tax>Your tax questions answered>Adding or Changing Banking Details> Supporting documents needed for adding or changing banking details.

Estates

• Change of banking details for a deceased taxpayer can only be effected once the case has been coded as a “deceased estate”. Executors/Administrators are therefore urged to wait for a letter from SARS confirming the taxpayers’ status change before attempting to change the banking details.
• A deceased estate with money in hand more than R1000 is required to open a bank account in the name of the Estate.
• For second registration purposes of taxpayers who passed away on or after 1 March 2016, the bank details used in the first registration can be reused in the second registration unless the Representative requires an update to it. The deceased estate banking details may not be of the deceased taxpayer but in the banking details of the estate if the Estate has money in hand of more than R1000.
• Where more than one executor has been appointed by the Master of the High Court and one executor has been nominated by the co-executor/s to represent the taxpayer, a completed and signed SARS Power of Attorney (POA) form is acceptable. The executor must submit SARS POA form together with the above listed documents.
• A registered Administrator/Trustee of Estates can effect changes to banking details for a taxpayer with an insolvent estate by submitting a SARS POA form (completed and signed by the trustee) together with the above listed documents irrespective of the value of the estate.
• In the case of a section 18(3) estate where the money in hand (including the refund due by SARS) and the refund is more than R1000, the bank details of the Estate must be provided. The letter of authority will reflect the value of the assets of the estate.
• In the case of a section 18(3) estate where the money in hand (including the refund due by SARS) is less than R1000 the bank details can be changed to that of the Administrator as reflected on the letter of authority provided that all above supporting documents can be provided.
• Where a letter of authority cannot be provided, bank details cannot be changed to a surviving spouse or beneficiary. If a letter of authority was not issued, the surviving spouse/beneficiary must request such from the Master.

Third-Party Bank Account

A third-party bank account for personal income tax will only be accepted in the following circumstances:

• • Non-resident without a local bank account;
  • Insolvency/Curatorship;
  • Deceased Estate;
  • Shared Account;
  • Statutory restrictions and
  • Minor child.

In the case of a non-resident company or a subsidiary or holding company as defined in section 1 of the Companies Act No.71 of 2008, the following additional documents must be provided where a third-party bank account is used:

• • If the company is a non-resident company of the Republic:
    
    • Indemnity form VAT119i
    • Copy of the Memorandum of Incorporation or similar document issued indicating the country of issue
    • Copy of a letter of appointment of a representative vendor.
    • A copy of a valid identity document, drivers’ licence , passport, temporary identity document, asylum seeker’s certificate or permit. For online submission, attach a copy. If you are visiting a SARS office, bring a copy and the original identification document.
• If a company is a subsidiary company of a holding company and a holding company’s bank account is used or vice versa:
  
  • • Indemnity form VAT119i
    • Copy of a letter from the Public Officer confirming the group structure
    • Copy of a letter of appointment of representative vendor/representative taxpayer
    • A copy of a valid identity document, drivers licence , passport, temporary identity document, asylum seeker’s certificate or permit. For online submission, attach a copy. If you are visiting a SARS office, bring a copy and the original identification document.

• Where the letter named above is not in one of the official South African languages, SARS will request for a translation in writing (e.g. a letter will be issued).

Definitions, acronyms and abbreviations

The definitions, acronyms and abbreviations can be accessed here – Glossary webpage.

Legal disclaimer: In the event of conflict or inconsistency between this webpage and the PDF version of the guide, the latter shall prevail.