Tick-Tock: What happens if you MISS the 2023 tax return deadline?
Time is ticking for South Africans to file before the 2023 tax return deadline. If you DON’T, you’ll be liable for the following penalties.
The 2023 tax return deadline is fast approaching. The cut-off date for submissions by individual taxpayers is 23 October 2023. That’s a little over five weeks from the date this article published. Tick-tock.
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If for whatever reason you miss the 2023 tax return deadline, SARS warns that you WILL be liable for penalty fees. Similarly, the Finance Minister said recently that SARS is staring down the barrel of a massive tax shortfall for the year, R22 billion. That means they want to recoup every Rand to close the gap to their 6% growth target.
2023 TAX RETURN DEADLINE
Therefore, if you do not submit your income tax return on time you will be issued with a Personal Income Tax Administrative Penalty notification. These are sent out due to the late or non-submission of income tax returns.
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To remedy this, SARS says you must submit your outstanding tax return as soon as possible. If you do not, a monthly recurring admin penalty will be levied against you until you submit. You can check if you have one against your profile on SARS eFiling, in your personalised admin page.
SUBMIT IMMEDIATELY
If you miss the 2023 tax return deadline, simply submit your outstanding return via SARS eFiling or MobiApp. Similarly, you can make an appointment with an agent at a SARS branch. Whether you disagree with the Personal Income Tax Administrative Penalty or not, admin penalties will recur against your profile every month for a maximum of 35 months until your return is submitted.
HOW MUCH IS THE PENALTY?
SARS says the penalty is comprised of fixed amounts based on the taxpayer’s taxable income – ranging from R250 up to R16 000 per month until the return is submitted. SARS also warns that each recurring penalty will have a unique transaction number but the Penalty Statement of Account (APSA) – basically how much you owe – will NOT be sent with the assessment notice.
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We reached out to the the experts at Tax Consulting, and they say if you miss the SARS 2023 tax return deadline, these are the non-compliance penalties you will have to pay:
| Assessed loss (your taxable income) | Monthly penalty |
| R0 – R250 000 | R250 |
| R250 001 – R500 000 | R500 |
| R500 001 – R1 000 000 | R1 000 |
| R1 000 001 – R5 000 000 | R2 000 |
| R5 000 001 – R10 000 000 | R4 000 |
| R10 000 001 – R50 000 000 | R8 000 |
| Above R50 000 000 | R16 000 |
Don’t forget, those penalties are per month. Tax Consulting also warns that the administrative penalties accumulate quickly. And you will be not issued future refunds from SARS due to your non-compliance. This means you could possibly face criminal charges. Continuous non-compliance could lead to imprisonment for up to two years.
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Have you submitted your tax return for 2023? What SARS portal did you use and did you find the experience easy? Be sure to share your thoughts with our audience in the comments section below. Send an email to info@thesouthafrican.com.
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