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2026 Legal and Policy

Legal & policy - 7 May 2026

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SOUTH AFRICAN REVENUE SERVICE (SARS)

  • 30 April 2026 – Tax Administration Act, 2011
  • 30 April 2026 – SARS has identified a few challenges experienced by employers during the submission and processing of AA88 Third-Party Appointment notices. The AA88 Employer Guide has been updated to address these challenges and provide clearer guidance in the following areas:

· Application synchronisation – Enhanced guidance and troubleshooting steps have been included to help employers resolve synchronisation issues and identify the most recent AA88 records after synchronisation.

· Employee filtering – Additional explanations have been provided to help employers filter employee records more effectively.

· Bulk payments – The guide has been updated to reflect the corrected bulk payment process and includes clearer instructions to support successful processing.

· Status outcome updates for ITA88 – The guide now clearly explains the system limitation related to ITA88 notices and provides guidance on the manual process required where automated status updates are not supported.

Updated guide – IT-easyFile-G01 – Third Party Appointment AA88 e@syFile™TC Employer Guide – External Guide.

  • 30 April 2026 – South Africa recorded a preliminary trade balance surplus of R31.9 billion in March 2026. This surplus was attributable to exports of R187.9 billion and imports of R156.0 billion, inclusive of trade with Botswana, Eswatini, Lesotho and Namibia (BELN). See the full Media Release here. Or visit the Trade Statistics webpage.
  • 30 April 2026 – Income Tax Act, 1962: SARS invite comment in writing on the following draft notices:

· Draft notice in terms of section 76C of the Act, prescribing the persons eligible to apply to the Commissioner for a double taxation agreement (DTA), i.e. a bilateral, advance pricing agreement (APA)

· Draft notice in terms of section 76D of the Act, prescribing the fees payable by an applicant in an application for a DTA APA

· Draft notice in terms of section 76I(b) of the Act, prescribing the additional requirements that may lead to the rejection of an application for a DTA APA

· Draft notice in terms of section 76J(1) of the Act, specifying the requirements for processing an application for a DTA APA

· Draft notice in terms of section 76J(3) of the Act, prescribing the information to be contained in a preliminary DTA APA

· Draft notice in terms of section 76P of the Act, specifying the procedures and guidelines for the implementation and operation of the DTA APA system

Due date for comment: 29 May 2026

  • 1 May 2026 — The South African Revenue Service (SARS) marks Workers’ Day by expressing gratitude to the workers who drive the country’s economy and whose taxes sustain public services. This is the organisation’s message as the new Commissioner, Dr Johnstone Makhubu, assumes office on his first day in this role, mindful of the heavy responsibility entrusted to him and the institution by all South Africans. Commissioner Makhubu expressed his gratitude to the President of the Republic, Mr Cyril Ramaphosa, and the Minister of Finance, Mr Enoch Godongwana, for entrusting him with the stewardship of this treasured national institution. Auspiciously, this occasion coincides with the first of May, Workers’ Day. Commissioner Makhubu salutes workers by acknowledging that they are the bedrock of our country’s economy, which benefits from their skills, sacrifice and persistence. “SARS’s mission seeks to augment these efforts through the collection of revenue that turns workers’ effort into public good, wages into schools, productivity into infrastructure and enterprise into opportunity,” he said.

“Today is not significant merely because I am taking up new responsibilities. Workers’ Day reminds us that the strength of South Africa rests on ordinary people doing honest work, often under difficult conditions. As SARS, we will continue to honour that work by acting fairly, competently and with humility.” Dr Makhubu stresses that he takes up his new role with great respect and a clear understanding that leadership at SARS is not about authority, but stewardship. SARS operates at the centre of the country’s social and economic contract and is entrusted by the President and the Minister of Finance to secure the state’s revenue base, strengthen compliance, enable development and protect the integrity of the tax system in an increasingly complex world. Commissioner Makhubu says that he accepted the responsibility without illusion about the task ahead. “SARS carries one of the most serious responsibilities in the state and the trust placed in us must be protected every day, in every interaction and in every decision we take.”

He adds that SARS enters this new phase of its leadership as a world‑class revenue authority, recognised and respected globally for its institutional recovery, innovation and proven results. This reputation was earned through the discipline and hard work of its people over many years. “In honour of workers, and particularly workers whose blood and sweat fuel our nation, our commitment now is not simply to defend SARS’s good standing, but to strengthen it. We are globally admired not by chance, but by our choices to act with integrity, apply the law evenly and to improve without losing our moral centre. That discipline will continue,” adds Commissioner Makhubu. SARS has benefitted immensely from the exceptional leadership of former Commissioner Edward Kieswetter, who was instrumental over the past seven years in reimagining SARS from the ugliest period of state capture into a glorious national asset. Commissioner Makhubu said that “continuity remains central to the work ahead”, with the institution’s strategic direction remaining clear and unchanged. “We will continue to provide clarity while making compliance simpler, service more accessible, and enforcement more consistent, while collecting all tax that is due, not a cent more, not a cent less”.

To support this commitment, the Commissioner is prioritising a SARS initiative called Doing Basics Right. This focus on perfecting SARS’s core activities in service of the organisation’s envisioned future state, in which the best service is no service, and tax just happens. The country faces the major challenge posed by the illicit economy, which deprives the fiscus of its fair share, harms legitimate businesses, causes job losses, and undermines fair competition. President Ramaphosa has provided clear leadership in the government’s mission to disrupt and dismantle the illicit economy, which has reached a staggering, unacceptable level. SARS has designed its own Illicit Economy Strategy that will complement the national strategy and forge an even closer cooperation with the national law enforcement agencies. Commissioner Makhubu has also identified Modernisation 3.0 as the linchpin of SARS’s strategy. SARS will continue to invest heavily in modern technology, keeping the organisation at the forefront of data‑driven administration, digital service delivery, and intelligent compliance systems. Modernisation 3.0 will be supplemented by human capability, as SARS remains committed to attracting skilled professionals, deepening institutional knowledge, and providing continuous training that keeps pace with legal, economic and technological change.

“Our message to taxpayers is unambiguous. SARS will treat those who comply with professionalism, clarity and respect. Systems will be designed to make compliance easier, not harder, and engagement will be guided by transparency, not suspicion”. He also warned those who intended not to comply with tax law. “Those who evade tax, abuse the system, or engage in deliberate and wilful non‑compliance should expect decisive action. A tax system only works when everyone carries their share, and no one is allowed to undermine it at the expense of others.” Commissioner Makhubu said Workers’ Day reminds us that institutions exist to serve people, not the other way around, and that the day “marks a new chapter that speaks of continuity strengthened by experience and guided by a well-functioning moral compass”. For further information, please contact SARSMedia@sars.gov.za.

  • 4 May 2026 – The state provides state warehouses for the safekeeping of goods. These are managed by Customs. The purpose of this list of unentered goods is to notify the importer, exporter and any other person that has interest in the goods that the goods have been taken up into the State warehouse and if they remain unentered they will be disposed in accordance with the provisions of the Customs & Excise Act.

See the latest Customs Weekly List of Unentered Goods here.

  • 4 May 2026 – Customs and Excise Act, 1964: The tariff amendments notices, scheduled for publication in the Government Gazette, relate to the following amendments, with effect from 6 May 2026:

· Part 5A of Schedule No. 1, to adjust the general fuel levy on diesel, by increasing the relief on diesel from 93c/li to nil cent per litre in order to give effect to the announcement by the Minister of Finance on 28 April 2026

· Part 3 of Schedule No. 6, as a consequence of the reduction in the general fuel levy as announced by the Minister of Finance on 28 April 2026; the diesel refund provisions are adjusted accordingly

Publication details will be made available later

  • 5 May 2026 – Customs and Excise Act, 1964: The correction notice scheduled for publication in the Government Gazette, relates to the amendment to –

· Part 5A of Schedule No. 1, to insert item 195.10.03/2710.12.02 to maintain the rate of the general fuel levy at 110c/li on petrol in order to give effect to the announcement by the Minister of Finance on 28 April 2026

Publication details will be made available later

  • 5 May 2026 – The facility codes used in Box 30 on the Goods Declaration have been updated to include the Air Menzies International SA (Pty) Ltd degrouping facility located at Oliver Reginald Tambo International Airport (ORTIA). This addition enables Customs to transmit electronic messages communicating the status of the consignment to these facilities.

SC-CF-19-A02 – Facilities Code List – External Annexure

  • 6 May 2026 – Customs and Excise Act, 1964: Publication details for correction notice R7435, as published in Government Gazette 54623 of 6 May 2026, are now available.
  • 6 May 2026 – The National Consumer Commission (NCC) and the South African Revenue Service (SARS) have concluded a Memorandum of Understanding (MoU) to enhance consumer protection against the proliferation of non-compliant goods entering the South African market. The MoU aims to improve enforcement, promote consultation, collaboration, and enhanced information sharing, in line with both entities’ respective mandates and to the extent permitted by law. The MoU focuses on addressing non-compliant imports, improving tax and customs compliance, and protecting consumers from unsafe and substandard goods. The agreement provides for joint investigations, information sharing, and coordinated awareness initiatives.

The MoU specifically aims to facilitate collaboration between the parties in addressing contraventions of section 26 of the Consumer Protection Act, 2008 (Act No. 68 of 2008), particularly in relation to the failure to issue invoices or the issuing of invoices that do not comply with statutory requirements, including the omission of VAT registration details. It also establishes mechanisms for the NCC to report suspected contraventions of tax and customs legislation, including failures to register for tax and/or customs purposes. The cooperation between the two institutions is expected to enhance enforcement efforts within the Clothing, Textile, Footwear, and Leather (CTFL) sector by identifying instances of evasion or avoidance of customs duties and taxes by importers, and by implementing appropriate legal controls and interventions to address such conduct. It further strengthens oversight in key sectors, including e-commerce imports, where the risks of mislabelling and regulatory non-compliance remain significant.

The Commissioner for SARS, Dr. Johnstone Makhubu, endorsing the agreement signed by his predecessor, affirmed: “This partnership enhances our capacity to detect and act against non-compliant imports and tax evasion. It enables and aligns with the President’s announcement in SONA on the launch of the National Illicit Economy Disruption Programme that brings together key state agencies and other stakeholders, including the private sector. It enables us to protect the economy better while ensuring that all traders operate on a fair and lawful basis.” He went on, “The agreement forms part of our collaboration strategy, drawing on multiple MOUs with state entities to stem cross-border trade abuses.”

Echoing these sentiments, the Acting Commissioner of the NCC, Mr Hardin Ratshisusu, stated that the MoU reinforces the NCC’s mandate to protect consumers. He further said, “Consumers have a right to safe, good quality goods and fair market practices. This collaboration enables more effective action against prohibited conduct, while improving accountability across the value chain.” The agreement reflects a whole-of-government approach grounded in cooperation, transparency, and accountability. It further provides for structured reporting, joint operations, and ongoing engagement to ensure that non-compliant goods are identified and dealt with in accordance with applicable legislation.

NATIONAL TREASURY

ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT (OECD)

SOUTHERN AFRICAN LEGAL INFORMATION INSTITUTE (SAFLII)

AFRICAN TAX ADMINSITRATION FORUM (ATAF)

AuthorLegal and Policy
DivisionTax
Categories
Legal and Policy
Date7 May 2026