R2 Trillion or Bust: SARS Ramps Up Collection Game for 2025
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Debt collectors, data bots, and AI, SARS is pulling out all the stops. Following the Budget Speech, SARS has accepted the monumental challenge of collecting R1.986 trillion in revenue for the 2025/26 financial year. That’s up from the R1.86 trillion collected in 2024/25, already R8.9 billion more than expected. But with lower global growth, trimmed-down GDP expectations, and a sluggish local economy, this isn’t just business as usual.
SARS’s Revenue Playbook
To hit the R2 trillion target, SARS is going full throttle with:
Aggressive debt collection, especially on undisputed debt.
AI-powered compliance checks using third-party data to sniff out underreported income.
Cracking down on illicit trade in high-risk sectors like fuel, tobacco, and alcohol.
Bringing informal traders into the tax net, especially those flying under the radar.
Commissioner Edward Kieswetter emphasized that tax revenue funds 90% of South Africa’s government spend—from pensions and healthcare to child grants and education. “It’s the lifeblood of the state,” he said.
What Accountants Should Know
SARS is doubling down on automation and AI, meaning more automated assessments and less room for error or omission.
Expect increased scrutiny of clients in informal or cash-heavy sectors.
Debt collection will intensify, including calls, legal action, and garnishing—especially if the debt isn’t in dispute.
Encourage clients to stay compliant, or risk facing the full legal force of a more data-savvy SARS.
If your clients are struggling with debt, SARS urges early engagement—installments, deferments, or disputes are all on the table.
🧾 Stay sharp, stay compliant. Tag a fellow accountant, share with your network, and follow @CIBA for the latest fiscal intel. Let’s help our clients stay on the right side of SARS and keep the economy ticking.
