Tax season is upon us, which means that taxpayers need to be proactive in their readiness, as the South African Revenue Service (Sars) gears up for its auto-assessment period, July 1 to July 14, 2024.
This is according to Lambert Roberts, Expatriate Tax Team Manager at Tax Consulting SA.
In this two week period, Sars will issue estimated assessments to the taxpayers who meet specific criteria.
Filing Season 2024 is around the corner! Get organised and update your personal/ banking details before July
🔹 Individual taxpayers: 15 July - 21 Oct 2024
🔹 Auto-assessment notices: 1-14 July 2024
🔹 Provisional taxpayers: 15 July - 20 Jan 2025
🔹 Trusts: 16 Sept - 20 Jan 2025 pic.twitter.com/kpHZvR44v6
According to Roberts, if taxpayers disagree with the auto-assessment, they have until October 21, 2024, to amend their final tax assessment for the 2024 tax year.
Here are essential steps to take to prepare for this process:
Confirm your auto-assessment status
To verify that you have been chosen for auto-assessment, you can check through various channels including:
– Sars Online Query Service
– Logging into your eFiling profile
– Using the Sars Mobi-App
– Checking your preferred Sars communication channel.
Who Is most likely to be auto-assessed?
Roberts said that these groups of taxpayers are most likely to receive auto-assessments:
– People employed by a South African employer for the entire assessment year (March 1, 2023, to February 29, 2024)
– Taxpayers contributing to local retirement and medical funds
– People that are earning investment income from local banks and institutions.
Be on alert for communications from Sars
If taxpayers are expecting a refund for this year’s tax year, it is important that their details are accurate in the Sars system before July 1, 2024.
“Any discrepancies, particularly with banking details, can result in delayed refunds,” Roberts said.
“Given the recent uptick in fraudulent activities reported by Sars, it’s crucial to regularly review your registered details and correspondences to mitigate the risk of fraud.”
Important actions you need to take
– Verify and update your details: Taxpayers need to confirm that their personal and banking details are current and updated on the Sars system. They can use the Sars Online Query Service, their eFiling profile, or the Mobi-App to make the updates.
– Track Sars communications: Regularly check for updates or discrepancies in communications from the taxman. Be vigilant for fraud by ensuring all correspondences from Sars are legitimate.
– Speak to your provider: Consult your tax practitioner or financial adviser to ensure your details are captured correctly and maintained. Many tax practices use internal systems to review and confirm client details which can reduce risks.
“Taking these steps will help you navigate the Sars auto-assessment process smoothly and ensure you receive any due refunds without unnecessary delays,” Robert said.
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