Navigating the 2025 tax-filing season

In the finalised 2025 Budget speech, Finance Minister Enoch Godongwana announced the allocation of an additional R7.5bn to the South African Revenue Service (SARS) for the 2025/2026 fiscal year. SARS continues to commit to modernising its tax collection efforts in order to increase taxpayer confidence and convenience, as well as improve efficiency in its revenue collection. But what does this mean for South African taxpayers as they prepare for the upcoming tax-filing season? Tax manager Meagan Fraser answers some of the questions that may arise.

What does the reversal of the VAT increase mean for SARS this year?
For the majority of South Africans, the reversal of the proposed 0.5% VAT increase earlier this year provided a sense of relief in terms of their monthly budget. However, the loss of the anticipated revenue from this proposed increase resulted in a R75bn shortfall in the Budget. SARS is committed to ensuring that outstanding taxes are accurately and efficiently collected when due, and its efforts during tax-filing season will therefore be focused on taxpayer compliance and on collecting outstanding taxes where they become due.

Does this mean that I will need to pay more tax?

Read full article on: https://www.allangray.co.za/latest-insights/personal-investing/navigating-the-2025-tax-filing-season/

July 15 2025 By Meagan Fraser - Allan Gray