SARS does most of the work for you, but you must verify your tax return

Approximately 6 million taxpayers are expected to receive auto-assessments from the South African Revenue Service between 1 and 12 July. But it is the duty of every taxpayer to ensure that their returns are accurate.

Approximately 6 million taxpayers are expected to receive auto-assessments from the South African Revenue Service (SARS) between July 1 and 12. This is a large portion of the 7 to 8 million taxpayers who file annual tax returns.

SARS has increasingly relied on data from third-party institutions – such as employers, banks, medical schemes and superannuation funds – to provide it with direct financial data that it uses to pre-prepare your tax return.

For many taxpayers who find filing returns an administrative hassle, this is a welcome and efficient development, but experts caution that the onus remains on each taxpayer to file accurate information.

Automatic Returns Don't Make You Less Liable

Courtney Cox, a tax consultant at Tax Consulting SA, says one of the biggest misconceptions about auto-assessment is that it reduces taxpayer accountability as SARS progresses.

“An auto-assessment is based on information available to SARS at the time, but taxpayers are still legally required to ensure that their tax affairs are accurate and complete,” advises Cox.

She cautions that accepting an assessment without checking it can have long-term consequences.

“If an auto-assessment is accepted without review and income is omitted, or deductions are incorrect, SARS may later issue a revised assessment resulting in additional tax interest and potential penalties,” she adds.

It may be tempting to accept what SARS has calculated is your refund is due, but if your return does not reflect all your income or your deductions are overstated, it is unwise to take the money offered.

Automation can make filing easier and faster, but it doesn't free you from the risk of submitting incorrect information. As a taxpayer, you remain accountable for the final submission.

For the 2026 tax filing season, SARS has extended the deadline for auto-assessment taxpayers to dispute their returns or request adjustments, giving them until 23 October 2026 – in line with the deadline for all taxpayers apart from provisional taxpayers.

However, this extended deadline may not be applicable if the auto-assessment is issued after August 27, 2026, due to additional or incorrect information.

Announcing the changes for this year's tax filing season, SARS Commissioner Johnstone Makhubu said the deadline was aimed at managing volumes and reducing pressure on service channels.

How will you receive your auto-assessment?

Gather together your IRP5 and any tax certificates you receive from financial institutions, your retirement funds and medical plan.

Between July 1 and 12, 2026, eligible taxpayers will receive an SMS or email confirming that an auto-assessment has been generated.

Thereafter, taxpayers are expected to log in to SARS eFiling or SARS MobiApp to review their ITA34 assessment notice.

If the pre-populated data is correct, no further action is required. Refunds, where applicable, can be processed within 72 hours, provided your banking and compliance details are in order.

The hidden risk of assuming self-assessed returns are true

Charmaine Germishuis, senior manager of private wealth at PwC, says one of the most overlooked risks is the assumption that SARS always has complete and accurate data.

“The problem with auto assessment is that taxpayers often assume everything is final, but SARS is working on third-party data which may be incomplete or inaccurate,” warns Germishuis.

She says taxpayers should not treat the SARS data as definitive.

“Third party information should be seen as a starting point rather than a guarantee of accuracy.”

This matters because SARS relies heavily on submissions from employers, financial institutions and superannuation funds. But those inputs may still contain errors, duplications or late adjustments.

And once that data is included in the evaluation, getting it right becomes a laborious process.

When you opt out of the auto-assessment system

One of the more technical risks of Germishuis is that taxpayers may inadvertently opt out of the auto-assessment system without realizing it.

Changes in employer submissions, additional income instructions, or updated IRP5 data can move a taxpayer from the automated track to manual filing.

“As soon as there is a directive on IRP5, taxpayers are often no longer in the auto-assessment system, even if they think they are,” she explains.

This often results in confusion and frustration at filing time, as taxpayers realize they must submit complete returns under strict deadlines.

SARS to WhatsApp communication

For the 2026 tax filing season, SARS is expanding its digital communication channels.

Taxpayers who do not use email or e-filing can now receive their ITA34 assessment notices through WhatsApp. Supporting documents can also be uploaded through the platform.

While this increases reach, it also increases your susceptibility to fraud if you do not verify that you are receiving a message from the official SARS WhatsApp account (0800 11 7277). If in doubt, go to the official SARS website and access the WhatsApp service from there instead of relying on a number sent via SMS, email or social media.

SARS has repeatedly warned taxpayers to be wary of phishing messages, fake refund notices and demands for immediate payment circulating during the filing season.

Do not rush to SARS branch

SARS has urged taxpayers not to visit SARS service centers during the auto assessment period from 1 to 12 July 2026, but instead use its digital channels – the e-filing site, SARS MobiApp or the call centre.

A virtual “waiting room” has been introduced for e-filing and on SARS MobiApp to dequeue users and keep the system running smoothly, while the call center is fully staffed.

If you do not receive the automatic assessment notification by July 12, you can file manually from July 13.

If you file your own return and leave out some information, SARS has introduced a new “declaration alert” or “early warning” system that will warn you before you file if something is missing from your return or it is inconsistent with third party data. If you correct this immediately, the chances of the return being selected for verification or audit are very low.

What could be the delay in refund?

Delayed refunds don't automatically indicate a problem, but there's likely a reason for it. SARS notes that data may need to be verified to ensure it is correct.

Common triggers for delayed refunds include mismatched banking details, recently changed bank accounts, outstanding tax obligations from previous years, or late adjustments submitted by third-party data providers after the assessment has been released.

Transition from filing to verification

It is clear that SARS is increasingly automating the filing of tax returns, but remember that this does not mean that you are no longer responsible.

As a taxpayer, you are still required to verify what SARS generates. The difference is that you now have less time, fewer manual steps, and the ability to cross-check your data with data collected by SARS.

Remember that, as Germishuis points out, the system itself is only as strong as the data that feeds it, and your job is to verify that data and correct where it's wrong.

This article was first published SmartAboutMoney.co.zaan initiative of Association for Savings and Investments South Africa.

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