On February 29, 2024, the South African Revenue Service (Sars) conducted a “Trust and Tax Compliance” webinar, where they discussed the four pillars of compliance as they relate to trusts – registration, filing, declaration, and payment.
In this webinar, they emphasised the focus of Sars on trusts, which all have to register as taxpayers and who have to submit tax returns, including annual tax returns and potentially provisional tax returns.
Obligation to register as a taxpayer
Mention was made of the increase in trust registrations from 4 000 in 2021 to 7 500 in 2023. And 47% of newly registered trusts in 2023 were timeously registered as taxpayers with Sars, which is an improvement. Even though there was an increase, still only about 380 000 trusts are…