Taxpayers warned against 'blind acceptance' of SARS auto-assessments
Tax The tax season officially began on Monday, July 7 2025, with the SARS setting deadlines for different categories of taxpayers
Image: Freepik
With tax season fully underway in South Africa, taxpayers have been warned not to "blindly accept" their South African Revenue Service (SARS) auto assessments without reviewing them carefully.
The tax season officially commenced on Monday, July 7, 2025, with SARS setting deadlines for different categories of taxpayers. According to the revenue service, most taxpayers will be auto-assessed this year.
"This season marks an important period in which the income tax returns of most taxpayers will be automatically assessed. The taxpayers in the auto assessment category do not have to do anything if they are satisfied with the calculation on their tax returns," SARS said.
What is auto assessment?
Auto assessment is a process in which SARS uses data from employers, medical aids, and financial institutions to complete tax returns for individuals with straightforward tax situations.
While most individuals have welcomed the streamlined process, which aims to make filing taxes easier and reduce the workload for taxpayers, experts have warned that auto-assessments should not be accepted blindly.
Thys van Zyl, CEO of Everest Wealth Advisory, said tax season is a golden opportunity for taxpayers to reduce their tax liability and potentially even receive a refund.
“It’s important that taxpayers review their own taxes and ensure that the South African Revenue Service’s (SARS) calculations are complete and correct,” Van Zyl said.
“The reality is that not all allowable deductions are necessarily included. Additional deductions may include extra medical expenses, charitable donations, and home office or travel allowances. If you simply accept the auto-assessment, you may get less back than you’re actually entitled to.”
Van Zyl added that even if a refund has already been paid, it’s still possible to submit a revised return.
"It’s often wise to set aside the refund until the amended return has been processed. Just as it is every taxpayer’s responsibility to ensure their tax return accurately reflects their income and expenses, they must also make sure they are refunded if they’ve overpaid or qualify for deductions.”
He also warned that taxpayers are liable for any errors, even those made by SARS.
“That’s why you should always make sure your information is complete. If you notice any mistakes or omissions, you must request an amendment before accepting the assessment.
“Claiming that SARS calculated it and that it must therefore be correct will unfortunately not hold up. If you don’t submit the correct information, it may result in penalties and interest on overdue tax or, in severe cases, even criminal consequences.”
He also encouraged taxpayers to take advantage of legal tax-saving strategies, including contributing to tax-free savings accounts and retirement funds. These options allow individuals to reduce their taxable income and grow their investments without paying tax on interest, dividends, or capital gains
IOL Business
mthobisi.nozulela@iol.co.za