SARS 2025 tax season: Key changes every South African needs to know

As the 2025 tax season officially kicks off in South Africa, SARS has introduced a number of important changes that could impact how individuals and businesses file their returns. From enhanced digital platforms and stricter security protocols to revised rules for expats and employer reporting, taxpayers are urged to take note. Whether you’re filing via auto-assessment or manually submitting your return, staying informed and compliant this year is more important than ever. Here’s what you need to know to avoid penalties and ensure a smooth filing experience.

Important Dates Every Taxpayer Should Mark

The 2025 tax season officially opened on 7 July 2025, starting with SARS issuing auto-assessments to selected individuals. If you’re one of them, you have until 20 July to either accept or reject the assessment. For other taxpayers, the standard filing period begins on 21 July and closes on 21 October 2025. Provisional taxpayers, however, have until 19 January 2026 to file their returns.

These deadlines are crucial. Missing them could result in penalties, delayed refunds, and compliance complications. It’s important that all taxpayers—especially those who usually rely on last-minute filing—plan ahead and avoid the rush.

What’s New: SARS Express Access on eFiling

SARS has introduced a new feature called Express Access on its eFiling homepage. This simplified, user-friendly interface is designed to help taxpayers handle their submissions more efficiently. With just a few clicks, you can access your tax status, respond to auto-assessments, update your contact and banking details, and file outstanding returns.

This move is part of SARS’s broader digital strategy to improve compliance through automation and convenience. The Express Access dashboard provides real-time insights into your tax affairs, helping you stay on top of what’s due, what’s outstanding, and what actions are required from your end.

Auto-Assessments: Here’s What They Mean for You

If you’re one of the millions of South Africans selected for auto-assessment, SARS has already pre-filled your tax return based on third-party data from your employer, medical aid, financial institutions, and other sources. If you’re happy with the figures, you can simply accept the assessment, and if a refund is due, you should receive it within 72 hours.

However, if the data is incomplete—perhaps you’re a freelancer with side income, or you’ve had deductions not reflected—you must reject the auto-assessment and submit a revised return before the deadline. Not responding to an auto-assessment means you’re accepting it by default, which could backfire if key income or deductions are left out.

New Rules for Expats and Tax Residency Declarations

SARS has updated how South African expats and returning residents must handle their tax residency status. Anyone who resumes residency after living abroad must submit a formal declaration using the RAV01 form via eFiling. This declaration must include the exact date you resumed residency and updated supporting documents.

This change ensures SARS can monitor global income and enforce compliance, particularly for South Africans with foreign income streams. It also ties into the increased scrutiny of offshore earnings and capital gains, especially now that SARS allows certain foreign tax credits to be carried forward for up to six years.

Stronger Security Measures to Combat Fraud

Tax season is often open season for scammers, and SARS is stepping up its security protocols. You’ll now be required to update your eFiling password every 12 months and activate two-factor authentication (2FA) when logging in. This adds a vital layer of protection for your personal data and financial records.

SARS has also reiterated that it does not send emails or SMSes with clickable links. All communications will direct you to log into eFiling manually. If you receive suspicious messages offering “instant refunds” or warning you of urgent penalties, report them immediately. Falling for phishing scams could result in identity theft or financial loss.

Key Changes in Employer Reporting and Income Codes

Employers must now comply with updated reporting obligations. Two new source codes—4042 (non-taxable back pay) and 4058 (deferred compensation)—must be used in IRP5/IT3(a) submissions. These changes ensure transparency and accurate tax calculations for individuals receiving backdated salaries, bonuses, or pensions.

Also, trusts involving couples married in community of property will now be handled differently in returns, allowing for more equitable treatment of shared income and liabilities. These technical updates are crucial, especially for high-net-worth individuals or anyone receiving irregular income.

SARS MobiApp and Updated Filing Tools

The SARS MobiApp has also been upgraded, allowing you to complete your tax filing directly from your smartphone. The app supports document uploads, refund tracking, return submissions, and profile updates. Whether you’re a salaried employee or a provisional taxpayer, the app is a handy companion during tax season.

In addition, SARS has published new user guides explaining how to file, update tax residency, navigate disputes, and submit supporting documents. These guides are essential resources and are available on the SARS website.

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Who Does Not Need to File?

Not everyone is required to submit a return. If you earn below the tax threshold (currently R95,750 for individuals under 65), receive only one source of income, and have no deductions or foreign earnings, you may be automatically exempt. However, SARS encourages individuals to check their eFiling profile or SMS notifications to be sure.

If you were selected for auto-assessment and do nothing, the return is treated as accepted. But if you should have filed and didn’t, you may face administrative penalties later.

Tips for a Smooth Tax Season

1. Log in early to eFiling or the MobiApp to check your status.

2. Update your contact and bank details immediately to avoid refund delays.

3. Respond to auto-assessments by the 20 July deadline.

4. Keep supporting documents on hand in case SARS requests them later.

5. Beware of scams—never click on unsolicited links.

6. Seek professional advice if your income involves business, rental, or foreign elements.