SARS scam warning – as important tax date approaches
With South Africa’s individual tax filing season at the halfway point and trust filing season about to kick off, the South African Revenue Service (SARS) has issued two scam alerts urging taxpayers to watch out for fraudsters.
SARS has updated its fraud and phishing page with two new tax scams that have emerged in the past week, including an “outstanding amount” scam and a “delayed payment” scam.
In the former, taxpayers are notified from a spoofed email account that they owe SARS and outstanding amount that needs to be paid within 48 hours, or they will be blacklisted.
The mail uses SARS signage, asks encourages taxpayers to click a link, which goes to a fraudulent website.
The latter scam also comes from spoofed email addresses notifying taxpayers that there is a payment pending from SARS, which has been delayed until attached “FICA documents” are reviewed.
It then provides a link to a ‘pdf’, which is downloadable.
SARS urged taxpayers to steer clear of clicking any links in these emails and to report them to its fraud department.
“Beware of emails or SMSs asking for personal, tax, banking or eFiling details. SARS will never send you hyperlinks to other websites,” it said.
This tax season, fraudulent messages and emails have been doing the rounds as part of typical phishing attempts, but trying to get one over taxpayers by focusing on new topics. The latest scams join these others:
- Threats of SARS issuing court summonses against taxpayers
- Threats of SARS blacklisting taxpayers
- Threats of SARS issuing stop orders on accounts
- Notice of correspondence relating to solar
- Notice of outstanding amounts owed to taxpayers
- Notice of outstanding amounts owed to SARS
- Notice of delayed payments pending FICA review
Examples of these scams and more can be seen on SARS’ scams page.
Trust filing opens soon
The scam warnings come as tax filing season for trusts approaches which, for the first time, have their own filing window, starting 16 September 2024.
| Tax Season 2024 | Start date | End date |
| Individual Taxpayers (Non-Provisional) | 15 July 2024 | 21 October 2024 |
| Provisional Taxpayers | 15 July 2024 | 20 January 2025 |
| Trusts | 16 September 2024 | 20 January 2025 |
Trusts scored a small reprieve in their tax filing dates this year, with SARS giving them more time to get their affairs in order since implementing system changes in 2023.
SARS has made it clear that trusts and their beneficial owners are key targets as it tries to meet its collection targets and curb non-compliance.
In 2023, it expanded its third-party reporting standards to include trusts – local and foreign, where applicable – which are required to submit returns containing third-party information as specified by SARS.
In 2023, significant amendments were made to the trust income tax return, with these changes expected to continue in the 2024 tax season.
Trusts must now provide more detailed information in several key areas, including:
Beneficial Ownership
One major change is the requirement for the detailed disclosure of the beneficial ownership of the trust. Trusts must now provide comprehensive information about individuals, including beneficiaries identified as beneficial owners.
Accurate reporting of this information is crucial for compliance.
Income and Activities
Trusts are now required to disclose detailed information about their income and activities. This includes comprehensive reporting on all income sources, the nature of the trust’s activities, and how these activities align with the trust’s objectives.
This helps SARS verify that trusts are used appropriately and transparently.
IT3(t) Reporting
In line with its modernisation efforts, SARS is expanding third-party data information requirements. Trusts must now declare distributions to beneficiaries annually through IT3(t) reporting.
Compulsory Upload of Supporting Documents
Sufficient documentation is required to support the information disclosed in the trust income tax return.
Especially since all trust taxpayers are now subject to a compulsory upload of supporting documents upon filing their tax return, trusts must maintain accurate and complete supporting documents to demonstrate compliance.
This includes trust financial statements, resolutions, and any other relevant documentation verifying the trust’s financial activities.
Read: SARS is coming after these taxpayers hard, legal experts warn
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