South African small businesses remain responsible for the information submitted to SARS on their behalf, even when they use an external tax practitioner. The reminder appears in SARS SMME Connect Issue 16, which also advises taxpayers to confirm that practitioners are properly registered and authorised to provide tax services.

This is not a new tax or filing deadline. It is a practical compliance reminder: outsourcing a return does not remove the business’s obligation to provide complete information, review the result and retain supporting records.

What SARS is reminding businesses

SARS states that an unregistered tax practitioner may expose a business to incorrect submissions, penalties, delays, disputes or fraud. The taxpayer remains responsible for the information submitted, regardless of who prepared or filed the return.

For an SME, that means a business owner or finance team should not treat a submission as correct simply because it was prepared by a third party. The business should still understand what has been submitted, which records support the figures and whether any unresolved queries or corrections remain outstanding.

Who is affected?

The reminder is relevant to companies, sole proprietors, partnerships and other taxpayers that rely on external assistance for payroll, VAT, provisional tax, income tax or general SARS administration.

It is particularly important for smaller businesses without an internal finance department. In these businesses, one person may provide accounting records, approve payments and communicate with the practitioner. That concentration of responsibility can make errors harder to identify before submission.

Checks SMEs should make

  • Verify the practitioner: Confirm that the practitioner is registered with a recognised controlling body and authorised to provide tax services.
  • Review the source records: Compare turnover, payroll totals, deductions, expenses and tax payments with the business’s accounting records before approving a submission.
  • Keep an approval trail: Retain emails, schedules, working papers and evidence showing who reviewed and approved the return.
  • Check SARS access: Make sure the correct registered representative is linked to the organisation’s SARS profile. SARS says an incorrect or missing representative can affect submissions, tax-product activation and other eFiling transactions.
  • Protect login details: Do not give an external party unnecessary access to banking credentials, one-time PINs or personal eFiling passwords.

Practical next steps before the next submission

Businesses should create a short pre-submission checklist covering the relevant tax type, reporting period, source records, payment amount, due date and reviewer. The checklist should be completed before the practitioner submits the return, not after an assessment or SARS query is received.

Management should also agree how quickly errors will be reported and corrected. If figures change after a return has been prepared, the practitioner should receive the updated records in writing, with a clear record of the reason for the amendment.

SARS’s reminder is a useful opportunity to strengthen the control relationship between an SME and its tax practitioner. Businesses that need help reviewing their accounting and tax processes can explore Your Financial Partner’s accounting and tax services.