What’s New at SARS

21 May 2025 – Finance Minister Enoch Godongwana is delivering the National Budget speech today. For the updated Budget Tax Guide and more information, see our Budget webpage.

21 May 2025 – Value-Added Tax Act, 1991

• SARSTC VAT 22315 (VAT) [2025] ZATC JHB (25 April 2025)

VAT input tax deduction on import – point in limine in terms of section 54(2A)(a) of the VAT Act – whether the appellant is entitled to VAT input tax, in the amount of R26 901 845.85.

21 May 2025 – SARS is aware of an issue causing PDFs not to appear as an option on the file-selection screen on SOQS. To upload your PDF files, please change the filter to “All Files” on the file-selection screen. This will allow you to select and upload your PDF documents without any issues.

We are resolving this matter and apologise for the inconvenience.

20 May 2025 – National Legislation: National Treasury issued the following explanatory memoranda:

2025:

• Explanatory Memorandum on Amendments to the Regulations Prescribing Electronic Services for the Purpose of the Definition of “Electronic Services” in Section 1(1) of the Value-Added Tax Act, 1991
• Explanatory Memorandum on Amendments to the Regulations on the Domestic Reverse Charge relating to Valuable Metal issued in terms of Section 74(2) of the Value-Added Tax Act, 1991
• Explanatory Memorandum on Regulations on Determining the VAT Liability in respect of  Casino Table Games of Chance, issued in terms of section 74 of the Value-Added Tax Act, 1991
• Explanatory Memorandum on the Carbon Offset Regulations under the Carbon Tax Act, 2019

2024:

• Explanatory Memorandum on Revenue Laws Amendment Bill, 2024 – Savings Pension
• Explanatory Memorandum on the Taxation Laws Amendment Bill, 2024
• Explanatory Memorandum on the Global Minimum Tax Bill, 2024

20 May 2025 – National Legislation

• Final Response Document – 2024 Draft Revenue Laws Amendment Bill, 2024 Draft Rates and Monetary Amounts and Amendment of Revenue Laws Bill, 2024 Draft Taxation Laws Amendment Bill, 2024 Draft Tax Administration Laws Amendment Bill, Global Minimum Tax Bill and Global Minimum Tax Administration Bill – October 2024

19 May 2025 – This update requires a full uninstall and reinstall from the eFiling website.

The following changes were made in version 8.0.0_2.5.9:

• Enhancement made for payroll import files to align with SARS PAYE BRS. Certain certificates (IRP5/IT3(a) are not being successfully imported into the e@syFile TC application, and this has been corrected.
• Enhancement made for manual capture of source code 3926 to align with SARS PAYE BRS.
• Enhancement made to e@syFile Installation Screen Messaging

See more detail in the release notes.

19 May 2025 –  An updated Eastern Cape mobile tax unit schedule for May to June 2025 is now available.

19 May 2025 – Value-Added Tax Act, 1991

• Draft Binding General Ruling 4 (Issue 4) – Apportionment methodology to be applied by a municipality

Due date for comment: 20 June 2025

16 May 2025 — The South African Revenue Service (SARS) hosted the 41^st Regional Steering Group of the World Customs Organization (WCO) East and Southern Africa region (ESA) from 12–14 May, and the 31^st Governing Council from 15–16 May 2025. The meetings reviewed key developments for the 2024–2025 reporting period and finalised the new ESA Regional Strategy (2025–2028). The meeting was attended by member customs administrations, regional entities, and other partners. It underscored participants’ strong commitment to strategic reform, capacity-building, and regional integration.

The meeting highlighted the central role played by customs administrations in facilitating trade, mobilising resources, and protecting society. A high-priority topic was the Trade Facilitation Agreement, which will help to lower trade barriers and eliminate inefficiencies, such as non-tariff barriers which raise costs and hinder economic integration.

As a key enabler of trade, the WCO is a critical voice supporting Africa’s participation in global trade and international agreements. The adoption of the African Continental Free Trade Area is a milestone for intra-African trade. However, its success depends on the capacity of customs administrations to eliminate non-tariff barriers and facilitate seamless cross-border movement. To achieve this goal, Ashor Sarupen, South Africa’s Deputy Minister of Finance, pointed to tools such as enhanced connectivity, pre-arrival processing, and Authorized Economic Operator programmes as fundamental to the agenda. He noted that these require sustained investment in digital systems and modern infrastructure to remain effective. Equally challenging, is to deal with the rapid growth of e-commerce, which is straining existing customs systems.

Ian Saunders, WCO Secretary-General, spoke of the WCO’s contribution to developing responsive, inclusive policies that reflect the needs of diverse regions. This year marks a period of transformation in how the WCO engages with its members. Central to this transformation is the development of the WCO Strategic Plan, set to be finalised in 2025. This landmark plan is aligned with the year’s overarching theme of meaningful, member-driven change anchored in modernisation and collaboration. Efforts to strengthen the WCO’s operations, supported by the endorsed proposals and budget allocations, are progressing in tandem with its strategy. Concluding, the Secretary-General said that “the WCO remains committed to transparency, precision, and accountability underpinned by customs delivering on its commitment to efficiency, security, and prosperity”.

SARS Commissioner Mr Edward Kieswetter underscored the importance of the WCO ESA region, a bloc of 24 countries facing shared challenges and opportunities. The region remains relatively stable, rich in natural resources, and primed to harness its demographic dividend. Success will require coordinated strategy, innovative thinking, and a collective commitment to mutual growth. Customs administrations must integrate, use data, unlock the potential of e-commerce, and deepen partnerships with the public and private sectors. Through unity and bold collaboration, the ESA region can win progress toward a more connected and prosperous future.

Continuing the Commissioner observed that the African Continental Free Trade Area calls for revisiting traditional customs practices and embracing innovation. Importantly, the WCO was called upon to use its capacity to drive greater alignment with emerging global trends and deeper collaboration between the public and private sectors. Customs administrations must oversee trade, which is not only efficient, but also fair, contributing to more resilient and inclusive economies. The meeting concluded that modern customs operations must help to reduce tax leakages, lower trade costs, and expand the corporate tax base. Digital systems accelerate trade processes, while regional harmonisation integrates markets and boosts competitiveness. By strengthening customs, the meeting observed, countries can unlock the full benefits of trade under the African Continental Free Trade Area.

Finally, the Commissioner said that “undeniably, customs administrations globally are undergoing a period of unprecedented transformation, shaped by technological disruption, evolving risks, and geopolitical instability. While these changes present significant challenges, they also offer opportunities to build resilient, future-ready institutions, provided they are approached through structured reform, guided processes, and enhanced regional cooperation”.

The conference concluded the 31^st Governing Council by convening elections, which saw South Africa elected unanimously to the position of Vice-Chair of WCO ESA that would take effect from 1 July 2025. As Vice-Chair, South Africa is expected to strengthen the governance arrangements and improve the sustainability of the regional office whilst steering the implementation of the region’s strategic priorities, including digital transformation, customs modernisation, revenue mobilisation, and regional cooperation as well. This role enhances South Africa’s global influence and standing. Madagascar was elected as Deputy Vice-Chair and Kenya as an Additional Member to the WCO Policy Commission.

For further information, please contact [email protected].

16 May 2025 – Draft Guides

• Draft Tax Exemption Guide for Benefit Funds
• Draft Guide to Section 18A Approval for Specific United Nations Entities

Due date for comment: 27 June 2025

16 May 2025 – Tax Court Decisions

• SARSTC 45840 (ADM) [2025] ZATC CPT (15 April 2025)
• SARSTC IT 46151 (ADM) [2025] ZATC BFN (14 April 2025)
• SARSTC VAT 22504 (VAT) [2025] ZATC JHB (7 March 2025)
• SARSTC IT 35476 (ADM) [2025] ZATC JHB (25 February 2025)

Summaries are available on the Tax Court Judgments page

16 May 2025 – The Limpopo mobile tax unit schedule for May 2025 is now available.

16 May 2025 – This is yet another edition of SMME Connect to keep you informed of tax topics and SARS initiatives relevant to you. The information in this newsletter will help you meet your tax obligation easily.

15 May 2025 – Achieving our Vision 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 and technology infrastructure. To provide clarity and certainty, make it easy for taxpayers and traders to comply with their obligations and building public trust and confidence, our technology assets must demonstrate the highest levels of availability, robustness, and security.

In accordance with 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 and technology infrastructure are available, robust, and secure, by performing regular upgrades, enhancements, and maintenance.

Considering the above, SARS Digital platform maintenance is scheduled for:

Friday, 16 May 2025 from 18h00 to 04h00 Saturday, 17 May 2025,
Saturday, 17 May 2025 from 20h00 to 00h00.

During this time, you may experience intermittent service interruption on our eFiling, Tax and Customs Digital Platforms.

Responses (CUSRES messages) to transactions submitted during this time will be delayed, however, arrival and exit management functions are available at land border posts for all released declarations and manifests.
Stakeholders are therefore urged to submit all Goods Declarations (bills of entry) and Road Manifest, especially those deemed priority, by Saturday, 17 May 2025 @ 19h00.

15 May 2025 – SARS invites you to tender for the goods and/or services as detailed in RFP05/2025. The conditions in the SARS Chain Management Policy and the Regulatory Framework which governs tenders at SARS are applicable to this tender process.

14 May 2025 – In the May 2025 issue we take a closer look at how eFilers can enjoy an Easier, Safer, and More Secure Platform.

14 May 2025 – Achieving our Vision 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 and technology infrastructure. To provide clarity and certainty, make it easy for taxpayers and traders to comply with their obligations and building public trust and confidence, our technology assets must demonstrate the highest levels of availability, robustness, and security.

In accordance with 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 and technology infrastructure are available, robust, and secure, by performing regular upgrades, enhancements, and maintenance.

Considering the above, SARS Digital platform maintenance is scheduled for:

Friday, 16 May 2025 from 18h00 to 22h00,
Saturday, 17 May 2025 from 20h00 to 00h00.

During this time, you may experience intermittent service interruption on our eFiling, Tax and Customs Digital Platforms.

Responses (CUSRES messages) to transactions submitted during this time will be delayed, however, arrival and exit management functions are available at land border posts for all released declarations and manifests.
Stakeholders are therefore urged to submit all Goods Declarations (bills of entry) and Road Manifest, especially those deemed priority, by Saturday, 17 May 2025 @ 19h00.

14 May 2025 – The facility codes used in Box 30 on the Customs Clearance Declaration (CCD) have been updated to include details of the newly approved De-grouping Facilities – Ijubane Logistics (Pty) Ltd with code BU and Fusion Dispatch Center with code CD. Both are based at O.R. Tambo International Airport.

• SC-CF-19-A02 – Facilities Code List – External Annexure

14 May 2025 – We are delighted to announce that SARS is enhancing its services to make it easier for you to file Donations Tax and Withholding Tax on Royalties. You can now submit these declarations online through the SARS Online Query System (SOQS), available 24/7 on the SARS website.

SOQS is designed to simplify your tax affairs, allowing you to manage everything remotely without the need to visit our branches. This digital platform supports our strategic objective to modernise and digitise our services, making tax compliance more convenient for you. With SOQS, you can send queries, submit tax returns, manage declarations, and much more, all from the comfort of your home or office.

For more information on these tax products, please visit the Donations Tax or Withholding Tax on Royalties webpages.