PBOs Claiming SDL Exemption Must Read the New SARS IN
This article will count 0.25 units (15 minutes) of unverifiable CPD. Remember to log these units under your membership profile.
If you're advising a public benefit organisation (PBO) or working in one, you need to pay attention. SARS just updated its guidance on who qualifies for Skills Development Levy (SDL) exemption, and the rules just got stricter.
📢 The new Interpretation Note 10 (2025) replaces the old 2022 version and brings five big changes every accountant should know:
What’s Changed?
No grey areas allowed
PBOs must now do only the approved public benefit activities. Even one extra service outside the list means you're not eligible for exemption.
Funding rules are tighter
“Conduit” PBOs, ones that funds other organisations must now only support other qualifying PBOs. No mixing causes.
Refunds are now possible
If your PBO recently got SARS approval, you may be able to claim back SDL payments you already made, but only if you follow the new guide.
Real-life examples included
SARS added practical scenarios to help PBOs and their accountants know exactly what qualifies.
Non-compliance has real teeth
Get it wrong and you’re looking at penalties, interest, and possibly losing your tax-exempt status.
Why This Matters
If you’ve been claiming exemption based on the older interpretation, it’s time for a quick compliance health check. One misstep could cost your organisation thousands, or your client’s trust.
