2022-06-30-KPMG_Global-South_Africa_–_Issues_Around_Auto-Assessments_for_Individuals_Filing_Tax_Returns_3页_260kb

The upcoming South African tax filing season for the year 2021/2022 introduces significant changes with the increased use of auto-assessments issued by the South African Revenue Service (SARS) based on third-party data. Key points include:

• SARS will automatically issue assessments via SMS for taxpayers with available third-party data starting July 1, 2022, marking a shift from previous methods that required prior filing.
• Taxpayers must review these auto-assessments; if agreed, no action is needed, but if not, they have 40 business days to file an amended return using the "Request for Correction" process.
• This change affects all taxpayers, including expatriates, who may face inaccurate assessments due to limitations in SARS's access to full information, such as residency status or ID numbers.
• Accuracy concerns require thorough verification using supporting documentation, and extension requests may be considered for valid reasons after the 40-day period.
• Tax practitioners are urged to educate clients and seek professional advice to navigate the changes effectively.

KPMG recommends consultation with tax experts for accurate filings, with updates planned for early July.