Here’s what you need to know:
SARS confirmed that they will notify taxpayers from 1 July 2023 to 7 July 2023 by SMS or email whether they were selected to receive an auto-assessment. Since 2019, SARS has made it easier for certain taxpayers to submit their annual tax returns by automatically calculating their tax liability for the year of assessment and automatically issuing a tax assessment. To do this, SARS utilises data from employers, medical schemes, banks, investment funds and other institutions. Therefore, it is crucial that you carefully review the auto-assessment to ensure everything is complete and correct.
If you agree with the auto assessment, you do not have to do anything further. If a refund is due to you, you can expect it within 72 hours, provided your banking details on record with SARS are correct. If you owe SARS, you are urged to pay the amount owing before the due date on your Notice of Assessment (IT34) to avoid interest charged on the outstanding tax debt.
If you disagree with the auto assessment, you have until 23 October 2023 to amend and file your tax return on eFiling or the SARS Mobi App. Previously, a taxpayer that did not agree with the auto-assessment had 40 business days to file their tax return. This measure has been retained for auto-assessments issued after 23 October 2023.
If you amend and file your tax return, your tax return will likely be selected for verification. See here how to ensure prompt finalisation of the verification of your tax return.
Under reasonable grounds, you may ask SARS for an extension to file your tax return within 21 business days after 23 October 2023, being 21 November 2023. Under exceptional circumstances, you may request an extension post the 21 business days period. Notably, an extension does not waive any penalties for late filing. SARS may impose penalties for tax returns filed after 23 October 2023.
Do not delay the filing of your return, and keep an eye on your SMS and email for any communication from SARS. Happy filing!