The 2025 tax season is here, and SARS has introduced several important updates. These tax season changes affect how you submit your return, who gets auto-assessed, how foreign income is handled, and more.
2025 Tax Season Dates
Here’s when each filing window opens and closes:
Taxpayer Type | Filing Opens | Filing Closes |
Auto-Assessments | 7 July 2025 | 20 July 2025 |
Individuals | 21 July 2025 | 20 October 2025 |
Provisional Taxpayers | 21 July 2025 | 19 January 2026 |
Trusts | 21 July 2025 | 19 January 2026 |
- Auto-assessments are when SARS completes your tax return for you using third-party data (from your employer, bank, etc.). You just need to check and accept it.
Auto-Assessments Now Include More People
SARS is rolling out auto-assessments in batches between 7 and 20 July. This year, the system has expanded — and now some provisional taxpayers (like freelancers or side hustlers) will also be included.
What’s new?
- A new tool called “Provisional Taxpayer Auto Assessment Request” is available on the SARS Online Query System.
- If you’re a provisional taxpayer and get a notification from SARS, you can ask to be included in the auto-assessment process.
- If selected, you’ll receive an SMS or email. Check your eFiling or MobiApp for your assessment.
Avoid scams: Criminals use tax season to trick people. Don’t trust links from unknown sources. Only respond via official SARS platforms.
Tax Residency: A Warning to Expats
SARS now requires expats to confirm whether they’ve:
- Reinstated South African tax residency, or
- Officially ended it.
Why this matters:
If you left South Africa but didn’t formally notify SARS, you may still be classified as a tax resident. That means:
- You may still owe tax in SA
- It could affect you if you return in future
- You might be taxed on global income unintentionally
Tip: If you’re living abroad, check your residency status now and update it if needed.
Foreign Tax Credit Improvements (Section 6quat)
Starting 1 March 2025, if you paid tax in another country, you can now:
- Fully claim those foreign tax credits in South Africa — even on capital gains.
- Carry forward any unused credits for up to 6 years.
Why this is good:
It prevents you from paying tax twice on the same money (once overseas and again in SA).
More Info Required from Employers (Section 11(nA) and 11(nB))
From March 2025, employers must report more detail on your IRP5/IT3(a) tax certificate:
- Section 11(nA) → source code 4042
- Section 11(nB) → new source code 4058
What this means:
- These source codes help SARS apply your allowable deductions more accurately.
- Your return (ITR12) will automatically include this info.
Labour Brokers Are Now Provisional Taxpayers
If you’re a labour broker (a contractor providing labour services) and have a SARS exemption certificate, you now count as a provisional taxpayer.
That means:
- You must file IRP6 returns twice a year.
- You’ll need to budget for your tax in advance.
Learnership Tax Incentive Extended (Section 12H)
The SARS incentive that rewards companies for hiring learners or apprentices has been extended:
- Old end date: 1 April 2024
- New dates: 31 March 2027
If you run a business and hire trainees under a learnership agreement, this can reduce your tax bill.
Claiming Expenses on Foreign Interest (Practice Note 31)
If you earn interest from a foreign bank or investment, SARS now allows you to:
- Claim related expenses, like bank charges or financial advisor fees
- Enter this under a new field in the “Foreign Interest” section on your return
Backdated Salaries and Pensions
If you received a salary or pension late (for example, from a previous year), SARS has added two new codes:
- 3623 (salary)
- 3673 (pension)
These will help SARS process these payments correctly and avoid confusion with your current income.
Interest in Deceased Estates (Section 10(1)(i))
If someone passed away, but their bank account kept earning interest after their death, the executor can now:
- Specify exact dates the interest was earned
- Ensure SARS doesn’t tax interest outside the correct year
New Codes for Tax-Free Dividends
If you received dividends that are tax-exempt, SARS now separates them:
- Local dividends → source code 4306
- Foreign dividends → source code 4307
This keeps your tax return clearer and more accurate.
Married and Receiving Trust Income?
If you’re married in community of property and receive income from a trust, SARS will now:
- Split that income 50/50 between you and your spouse
- This could affect your final tax calculation
Carryover Balances Might Not Show Immediately
If your return is under review (being checked by SARS), you might see this message:
“SARS did not consider carryover/brought forward amounts as the current return is under the verification review.”
That includes:
- Section 11F (retirement contributions)
- Section 18A (donations)
- Section 20 (tax losses)
Once SARS finishes checking, they’ll update your return and carry the balances over.
Easier Way to Update Banking Details
When you update your bank account with SARS:
- You’ll now see a list of your verified accounts
- You just select the right one — no more typing it in
This reduces mistakes and speeds up refunds.
Stay Ahead of These Tax Season Changes
These 2025 tax season changes are meant to streamline the filing process — but they also come with new responsibilities. Here’s what you should do now:
- Check if you’re getting auto-assessed
- Confirm your tax residency if you’re overseas
- Review your IRP5/IT3(a) for new codes
- File on time — or risk penalties
- Avoid scams by only using official SARS channels
