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Challenges faced by South African Taxpayers with SARS’ updated eFiling Security Protocols

Challenges faced by South African Taxpayers with SARS’ updated eFiling Security Protocols

The South African Revenue Service (SARS) recently altered its protocols, significantly impacting taxpayers and tax practitioners. Previously, tax practitioners could update a taxpayer’s identification and eFiling security details under exceptional circumstances. Now, SARS mandates that taxpayers themselves must validate their eFiling profiles, even for setting up video meetings, leaving those with outdated contact details unable to access their accounts unless they visit a SARS office in person.

Major Issues with the New SARS Protocol

  1. Accessibility for International Taxpayers: Many South Africans use their local mobile numbers or work email addresses for eFiling. Once they leave the country, they may lose access to these, locking them out of their accounts. The recycling of mobile numbers adds a security risk, potentially allowing new holders of these numbers to access someone else’s eFiling account.
  1. Practical Limitations of Walk-ins: For taxpayers living abroad or far from a SARS office, in-person visits are impractical. This is also true for those who are medically incapacitated or otherwise unable to travel. The requirement for physical presence increases consulting costs as tax practitioners must charge more for the additional effort.
  1. Global Restrictions on Video Calls: In some countries, regulations restrict private video calls to specific platforms like WhatsApp or Botim, which come with their own privacy concerns. Additionally, time zone differences can complicate scheduling meetings.


Proposed Solutions

To address these challenges, several recommendations have been made:

– Allow tax practitioners to assist in exceptional circumstances with proper documentation, such as a photo of the taxpayer with their identification, a signed form authorizing the changes, and proof of address.

– Implement a specific Power of Attorney for security and identity updates only.

– Ensure a clear process involving video calls to verify documents and identities remotely.

Precautions for South Africans Leaving the Country

South Africans planning to move abroad should ensure their eFiling security details are up-to-date before leaving. They should maintain access to their original authentication methods and keep their South African ID safe, as acquiring a new ID from abroad can take up to a year.

In conclusion, while SARS’ new protocols aim to enhance security, they inadvertently create significant barriers for taxpayers, particularly those living abroad. Streamlining processes to accommodate exceptional circumstances would alleviate these issues and better serve the diverse needs of South African taxpayers.

Please contact the PW Harvey & Co Tax Department should you have any queries regarding this at tax@pwharvey.co.za

For assistance:

Michael Pasio

Tax Specialist 

Email: michael@pwharvey.co.za

Tel: 041 373 2710

Gavin Harvey

Email: gavin@pwharvey.co.za

Tel: 041 373 2710

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