The first time I did my taxes, I cried. Not a quiet, dignified sniffle — I’m talking red-eyed panic, two browsers open, three tabs deep in SARS eFiling, and still no idea what “auto-assessment” meant.
Like many young South Africans, I wasn’t taught how to file a tax return. There was no module at school titled “How to Adult 101”. Yet when tax season 2025 kicks off on 7 July, the South African Revenue Service (SARS) expects us to confidently navigate a labyrinth of income codes and deductions. And this year, the taxman isn’t just knocking, he’s kicking down the door.
SARS is modernising
This tax season, SARS is rolling out an upgraded eFiling system with a new “Express Access” feature designed to make things simpler, especially for those eligible for auto-assessment. Think: fewer forms, quicker refunds (within 72 hours if all goes well), and no long queues at your local branch. It’s part of a broader digital overhaul, with SARS now armed with AI, machine learning, and third-party data collection.
The aim? To close South Africa’s enormous “tax gap”. SARS is after that money, and they’re not being shy about it.
The proof is in the numbers. For the 2024-25 financial year, SARS collected a whopping R1.855 trillion, a 6.6% jump from the previous year, driven by personal income taxes and a recovering economy. That’s more than Finance Minister Enoch Godongwana’s estimate of R1.846 trillion, and it’s one of SARS’ best years yet, despite challenges like eFiling hijacks and tax evasion.
A VAT mess and a budget hole
This tax season doesn’t exist in a vacuum. It’s tied to Godongwana’s contentious 2025 budget, which sparked a firestorm over a proposed VAT hike to 16% over two years.
The Finance Minister shelved the hike (at least for now). But that doesn’t mean the problem has disappeared. Treasury and SARS are now scrambling for a fix, possibly adjusting revenue targets by R20-60 billion to scrap the hike. But with a R20 billion budget shortfall looming, the pressure’s on SARS to deliver.
Enter “Project AmaBillions”, SARS’ bold initiative to recover R70 billion over three years by targeting non-compliant taxpayers, including high-net-worth individuals and expats. With R7.5 billion in fresh funding, SARS is hiring 1,700 new debt collectors and leaning on AI to sniff out discrepancies.
Commissioner Kieswetter estimates a “tax gap” of R320-500 billion, with R200 billion each from personal income tax and VAT, plus R18 billion in unpaid tobacco excise. From sugary beverage manufacturers to illicit fuel traders, no sector is safe from SARS’ audits. Kieswetter’s even eyeing possibly 100,000 millionaires who aren’t paying their dues.
So, where does the money go?
Of course, taxes fund essential services. They pay for social grants that support over 18 million South Africans, no-fee schools for 9 million learners, the National School Nutrition Programme, hospitals, clinics, roads, and more. These are not trivial things; they are lifelines in a deeply unequal society.
But here’s the rub: for many of us, it’s hard to see where our money is actually going. We pay tax on fuel, but drive on pothole-ridden roads. We pay tax, but load-shedding still darkens our homes. We pay tax, and yet sewage runs through some communities while ministers get blue-light brigades.
It’s disheartening, especially for first-time taxpayers. You want to do the right thing. You want to contribute. But when public funds are so often mismanaged, wasted, or lost to corruption, it’s tough not to feel resentful … or worse, cynical.
A final reckoning
This tax season, I’ll be filing with a little more confidence and a lot more awareness. SARS’s modernised systems may be a relief, but they’re also a reminder: there’s no escaping your obligations.
That said, compliance should be a two-way street. If citizens are expected to cough up honestly and on time, and face the threat of penalties, asset seizures, or even jail time if they don’t, then the government must meet them halfway. Deliver the services. Fix the roads. Staff the clinics. Keep the promises.
Paying taxes should feel like participating in a shared project, not mugging in broad daylight. Until then, I’ll keep filing, one nervous tab at a time — still waiting to see our billions put to work.
Emma is a freshly graduated Journalist from Stellenbosch University, who also holds an Honours in history. She joined the explain team, eager to provide thorough and truthful information and connect with her generation.
Tax season is upon us, but is the government fulfilling their end of the deal?
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The first time I did my taxes, I cried. Not a quiet, dignified sniffle — I’m talking red-eyed panic, two browsers open, three tabs deep in SARS eFiling, and still no idea what “auto-assessment” meant.
Like many young South Africans, I wasn’t taught how to file a tax return. There was no module at school titled “How to Adult 101”. Yet when tax season 2025 kicks off on 7 July, the South African Revenue Service (SARS) expects us to confidently navigate a labyrinth of income codes and deductions. And this year, the taxman isn’t just knocking, he’s kicking down the door.
SARS is modernising
This tax season, SARS is rolling out an upgraded eFiling system with a new “Express Access” feature designed to make things simpler, especially for those eligible for auto-assessment. Think: fewer forms, quicker refunds (within 72 hours if all goes well), and no long queues at your local branch. It’s part of a broader digital overhaul, with SARS now armed with AI, machine learning, and third-party data collection.
The aim? To close South Africa’s enormous “tax gap”. SARS is after that money, and they’re not being shy about it.
The proof is in the numbers. For the 2024-25 financial year, SARS collected a whopping R1.855 trillion, a 6.6% jump from the previous year, driven by personal income taxes and a recovering economy. That’s more than Finance Minister Enoch Godongwana’s estimate of R1.846 trillion, and it’s one of SARS’ best years yet, despite challenges like eFiling hijacks and tax evasion.
A VAT mess and a budget hole
This tax season doesn’t exist in a vacuum. It’s tied to Godongwana’s contentious 2025 budget, which sparked a firestorm over a proposed VAT hike to 16% over two years.
The Finance Minister shelved the hike (at least for now). But that doesn’t mean the problem has disappeared. Treasury and SARS are now scrambling for a fix, possibly adjusting revenue targets by R20-60 billion to scrap the hike. But with a R20 billion budget shortfall looming, the pressure’s on SARS to deliver.
Enter “Project AmaBillions”, SARS’ bold initiative to recover R70 billion over three years by targeting non-compliant taxpayers, including high-net-worth individuals and expats. With R7.5 billion in fresh funding, SARS is hiring 1,700 new debt collectors and leaning on AI to sniff out discrepancies.
Commissioner Kieswetter estimates a “tax gap” of R320-500 billion, with R200 billion each from personal income tax and VAT, plus R18 billion in unpaid tobacco excise. From sugary beverage manufacturers to illicit fuel traders, no sector is safe from SARS’ audits. Kieswetter’s even eyeing possibly 100,000 millionaires who aren’t paying their dues.
So, where does the money go?
Of course, taxes fund essential services. They pay for social grants that support over 18 million South Africans, no-fee schools for 9 million learners, the National School Nutrition Programme, hospitals, clinics, roads, and more. These are not trivial things; they are lifelines in a deeply unequal society.
But here’s the rub: for many of us, it’s hard to see where our money is actually going. We pay tax on fuel, but drive on pothole-ridden roads. We pay tax, but load-shedding still darkens our homes. We pay tax, and yet sewage runs through some communities while ministers get blue-light brigades.
It’s disheartening, especially for first-time taxpayers. You want to do the right thing. You want to contribute. But when public funds are so often mismanaged, wasted, or lost to corruption, it’s tough not to feel resentful … or worse, cynical.
A final reckoning
This tax season, I’ll be filing with a little more confidence and a lot more awareness. SARS’s modernised systems may be a relief, but they’re also a reminder: there’s no escaping your obligations.
That said, compliance should be a two-way street. If citizens are expected to cough up honestly and on time, and face the threat of penalties, asset seizures, or even jail time if they don’t, then the government must meet them halfway. Deliver the services. Fix the roads. Staff the clinics. Keep the promises.
Paying taxes should feel like participating in a shared project, not mugging in broad daylight. Until then, I’ll keep filing, one nervous tab at a time — still waiting to see our billions put to work.
Emma Solomon
Emma is a freshly graduated Journalist from Stellenbosch University, who also holds an Honours in history. She joined the explain team, eager to provide thorough and truthful information and connect with her generation.
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