The real price of not filing your tax return in South Africa
The 2025 tax season is in full swing, but many South Africans are still not filing their returns, unaware that this could lead to mounting penalties and legal trouble.
The tax season officially began on Monday, July 7 2025, with the South African Revenue Service (SARS) setting deadlines for different categories of taxpayers.
According to the revenue collector, individual taxpayers must file their returns by October 20, 2025. Provisional taxpayers, meanwhile, have until January 19, 2026 to submit.
"Taxpayers who do not receive notifications from SARS that they are automatically assessed are encouraged to submit their tax returns in a timely and accurate manner from July 21, 2025," SARS said.
Failing to file, even when no tax is owed, can lead administrative penalties of up to R250 to R16,000 per month for each return outstanding.
"In more severe cases, persistent non-compliance may result in criminal charges, including prosecution for tax evasion. Importantly, SARS uses advanced data-matching systems and international reporting standards to detect undeclared income, so assuming you're not "under the Radar" is a risky gamble," Tax Consulting South Africa said.
Tax Consulting South Africa, a firm specialising in South African and international tax law, as well as SARS compliance.
"Even if no tax is owed, filing your tax return ensures your tax affairs are in order and protects you from retrospective assessments or penalties. In a country where tax compliance is both a legal requirement and a civic duty, many South Africans still believe that if they don't owe anything, they don't need to file a tax return.
"Unfortunately, that assumption could have costly financial and legal consequences. Whether due to oversight, uncertainty, or misinformation, failing to submit your annual return — even when you think there's no tax due — is a risk that can escalate over time.
Tax Consulting South Africa also advised those who have not filed for several years to first check which past tax years they were supposed to file for.
To fix this, they recommend that taxpayers can work with a tax practitioner to gather all relevant documents and submit the outstanding returns as soon as possible.
"To avoid any further incurrence of penalties, it would be advisable to stay vigilant of any notices shared by the commissioner requiring returns for assessments of a normal tax return, within the period prescribed in that notice, per section 66 of the Income Tax Act. As such, ensure that you file your tax returns as and when they become due or on or before the prescribed deadline"
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