SARS Tax Directives System Update

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SARS has updated its Tax Directives System with several improvements. Here is a plain-language summary of what has changed.

Recognition of Transfer (ROT) Cancellations

The cancellation process for ROTs has been made faster and simpler:

• Fund Administrators and long-term insurers no longer need to attach supporting documents when submitting a cancellation request on eFiling.

• Cancellations are now processed automatically, so manual review cases are no longer created.

• A new bulk cancellation feature allows multiple cancellation requests to be submitted at the same time.

• Administrators can now view the status of a cancellation request and confirm whether a ROT has been successfully cancelled.

Administrators can also now view the details of ROT reminders sent by SARS, making it easier to track and manage outstanding ROTs.

Double Tax Agreement (DTA) on Form C Directives

From 17 April 2026, Fund Administrators can indicate directly on the tax directive application form that a DTA applies. SARS will then create a manual review case for an Auditor or Assessor to confirm whether the DTA is applicable.

Previously, administrators had to email a manual application to SARS. Please note that from 17 April 2027, SARS will no longer accept these manual email applications.

Certificate of Residence

SARS has provided guidance on which documents may be accepted as an alternative to a Certificate of Residence.

Backdated Salaries and Pensions

Where a tax directive relates to backdated salaries or pensions, employers must now break the payment down into three categories: Income, Benefit, and Deductions.

Request for Relief of South African Tax (RST01)

The IRP3er directive issued for RST01 applications has been updated to correctly display the three-year validity period, in line with SARS's original intention.

2026 Budget Speech Changes

Two threshold increases take effect from 1 March 2026:

• The living annuity commutation value under Paragraph (c) increases from R125,000 to R150,000. This applies regardless of whether previous commutations were made on retirement.

• The de minimis retirement amount (the amount a taxpayer can take in full without being subject to annuitisation rules) increases from R247,500 to R360,000.

Updated Guides

SARS has updated the following guides to reflect these changes:

• IT-AE-33-G01 – Tax directive Cease to be resident and Expiry of visas – External Guide

• IT-AE-41-G01 – Completion Guide for IRP3(a) and IRP3(s) Form – External Guide

• IT-AE-41-G02 – Guide to Complete the Lump sum Tax Directive Application Forms – External Guide

• IT-AE-41-G03 – Guide to Complete Submit and Cancel a Recognition of Transfer – External Guide

• IT-AE-41-G04 – Guide to the Tax Directive functionality on eFiling – External Guide