If you’ve received your SARS auto-assessment, you might be tempted to simply accept it without any further action. After all, the system is meant to make tax filing easier, right? But here’s the catch, while the auto-assessment can simplify the process, you should still take the time to review it. Accepting it without checking could lead to penalties, interest, or even an audit from SARS. So, why is it important to double-check?
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What Is a SARS Auto-Assessment?
SARS auto-assessments are designed to make tax filing easier by automatically generating your tax return based on data from third-party sources such as your employer, bank, medical scheme, and retirement funds. For those with straightforward financial situations, this system can save a lot of time.
However, while SARS does a lot of the work for you, it’s not foolproof. Nicci Courtney-Clarke, COO of TaxTim, points out:
“If you do not check and submit your own tax return for income and/or expenses which may be left out, you are taking full responsibility for what is missing, and SARS will hold you accountable.”
Simply put, if you miss something, you’ll be the one to pay the price.
Why You Should Review Your Auto-Assessment
Even though SARS uses reliable data, there are things it might miss. For example, if you earn freelance income, have rental properties, or paid out-of-pocket medical expenses, these might not be included in the auto-assessment. That means:
- Missing income: Freelance work, side jobs, or rental income could be overlooked.
- Deductions: Medical expenses, business expenses, or other deductions might not show up.
- Accuracy: Accepting the auto-assessment as-is could result in errors that lead to penalties or an audit.
By reviewing your assessment, you ensure that everything is correct and up to date.
What Happens If You Don’t Review Your Auto-Assessment?
If you skip the review, you may face serious consequences, including:
- Penalties: If you don’t file on time or disclose all your income, SARS will penalise you.
- Interest: If you owe more tax, it could accumulate interest over time.
- Audits: If discrepancies are found, SARS may audit you, which can be a lengthy and stressful process.
So, it’s worth taking a few extra minutes to ensure everything is accurate.
Key Filing Dates You Need to Know
Here are the important filing dates for 2025:
- Auto-assessments issued: 7 to 20 July 2025
- Manual filing for non-provisional taxpayers: 21 July – 20 October 2025
- Provisional taxpayers: 21 July 2025 – 19 January 2026
If you missed the auto-assessment period or need to file manually, make sure you meet the relevant deadlines to avoid penalties.
How to Review and Amend Your Auto-Assessment
If you want to make sure your tax return is correct, here’s how you can review and amend your auto-assessment:
- Check your status: Log in to SARS eFiling or use the SARS MobiApp to see if you’ve been auto-assessed.
- Review the information: Compare the pre-filled details with your own records. Are there any income sources or deductions missing?
- Amend if necessary: If something’s wrong, amend your return before the deadline to avoid penalties.
SARS allows you to amend your auto-assessment, so if you spot an error, it’s best to fix it early.
How to Avoid Penalties
SARS can impose penalties for a variety of reasons, such as missing the filing deadline or submitting incorrect information. To avoid penalties:
- File on time: Always submit your tax return before the deadline to avoid late filing penalties.
- Check for accuracy: Review your return carefully to make sure all income and deductions are included. Even if the auto-assessment looks correct, a second look is always a good idea.
- Seek professional help: If you’re unsure about any part of your return, consulting a tax expert can help you avoid costly mistakes.
By taking these steps, you can avoid unnecessary penalties and stay on top of your tax obligations.
The Risks of Ignoring Your Auto-Assessment
It might be tempting to assume that if you received an auto-assessment, everything is fine. But don’t fall into that trap. While the system is helpful, it can miss important information, leading to issues like:
- Penalties for incomplete filings
- Interest on unpaid taxes
- Tax audits
You are still responsible for ensuring your tax return is accurate, even if it was pre-filled by SARS. So, take the time to double-check everything.
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SARS’ auto-assessment system is designed to simplify tax filing, but it’s still essential to review your assessment. By taking a few extra minutes to ensure your information is accurate, you can avoid penalties, interest, and audits.
If you’re unsure about anything, don’t hesitate to consult a tax professional. It’s always better to catch any issues early rather than deal with the consequences later.