A Step-by-Step Guide on How to Get a Tax Identification Number in South Africa

If you are living or working in South Africa, it is important to have a tax number. This unique identifier is necessary for various financial and legal purposes. Whether you are an individual or a business, getting a tax number is a straightforward process that can be done online or in person.

Firstly, it is important to understand why you need a tax number in South Africa. A tax number is required to pay taxes and file tax returns. It is also necessary for opening a bank account, getting a job, registering a business, and conducting financial transactions. Without a tax number, you may face penalties and legal consequences.

To get a tax number in South Africa, you can visit the South African Revenue Service (SARS) website or go to a SARS branch in person. The process involves filling out an application form and providing supporting documents such as your identification documents, proof of address, and proof of income. Once your application is submitted, SARS will review it and assign you a tax number.

Section 1: Eligibility Requirements

In order to obtain a tax number in South Africa, you need to meet certain eligibility requirements. These requirements are put in place to ensure that only eligible individuals can get a tax number.

Here are the eligibility requirements to obtain a tax number in South Africa:

• You must be a taxpayer: To get a tax number, you must be a taxpayer in South Africa. This means that you earn an income and are required to pay taxes to the South African Revenue Service (SARS).
• You must be at least 18 years old: The minimum age requirement to obtain a tax number is 18 years old. If you are younger than 18, you will need to have a legal guardian or parent apply on your behalf.
• You must have a valid identification document: To apply for a tax number, you will need to provide a valid identification document. This can be your South African identity document (ID), passport, or any other official identification document recognized by SARS.
• You must have a South African address: In order to apply for a tax number, you must have a South African address. This can be your residential or business address in South Africa.
• You must have a bank account: It is mandatory to have a South African bank account in order to obtain a tax number. This is because SARS requires a bank account for tax purposes and to facilitate any refunds or payments.

These eligibility requirements ensure that individuals who are earning income and residing in South Africa are able to fulfill their tax obligations. By meeting these requirements, you can proceed with the process of obtaining a tax number in South Africa.

South African Residency

Obtaining a tax number in South Africa is an essential step for individuals and entities who need to fulfill their tax obligations in the country. To apply for a tax number, it is important to understand the concept of South African residency.

Residency is an important factor in determining an individual or entity’s tax obligations in South Africa. The South African Revenue Service (SARS) defines residency based on various factors, including the number of days spent in the country during a tax year and the individual’s intention to reside permanently in South Africa.

Here are some key points to consider regarding South African residency for tax purposes:

• Ordinary residence: An individual is considered an ordinary resident of South Africa if they have their usual or principal place of residence in the country. This means that South Africa is their main home and they spend a significant amount of time there.
• Physical presence: An individual who is physically present in South Africa for 183 days or more during a tax year is considered a tax resident. These days do not have to be consecutive.
• Intention to reside: Even if an individual does not meet the physical presence requirement, they can still be considered a tax resident if they have an intention to reside permanently in South Africa. This determination is based on various factors, including the individual’s ties to the country, such as family, property, and business interests.

It is important to note that different tax rules apply to residents and non-residents in South Africa. Residents are subject to tax on their worldwide income, while non-residents are only taxed on their South African-sourced income. Therefore, it is crucial to accurately determine residency status to comply with the correct tax regulations.

If you are unsure about your residency status or need assistance with obtaining a tax number in South Africa, it is recommended to consult with a tax professional or contact SARS directly for guidance.

Age Requirements

To obtain a tax number in South Africa, you need to meet certain age requirements. The requirements vary depending on the type of taxpayer you are:

Individual Taxpayers

If you are an individual taxpayer, you must be at least 18 years old to get a tax number in South Africa. This applies to both South African citizens and foreign nationals.

Companies and Other Legal Entities

If you are a company or other legal entity, there are no specific age requirements to obtain a tax number. However, you must be legally registered and recognized as a legal entity in South Africa.

Trusts and Estates

For trusts and estates, the age requirements are different. The trustee must be at least 18 years old, and the beneficiaries can be of any age.

Foreign Nationals

If you are a foreign national living in South Africa, you can also obtain a tax number. The age requirements remain the same as for South African citizens.

It is important to note that these age requirements are set by the South African Revenue Service (SARS) to ensure compliance with tax laws and regulations. Failure to meet the age requirements may result in delays or complications in obtaining a tax number.

Identification Documents

In order to obtain a tax number in South Africa, you will need to provide the following identification documents:

• Identity Document (ID) – You must have a valid South African ID document. This is the most important document required to obtain a tax number.
• Passport – If you are not a South African citizen and do not have a South African ID document, you can use your passport as an alternative identification document.
• Proof of residence – You will need to provide proof of your residential address. This can be in the form of a utility bill (e.g. electricity or water bill), a lease agreement, or a bank statement.
• Bank account details – You will need to provide your bank account details, including the bank name, branch code, and account number. This is necessary for tax purposes, as it is where any refunds or payments will be deposited.

It is important to note that all identification documents must be valid and up to date. If any of the documents are expired or incorrect, you may be denied a tax number.

Once you have gathered all the necessary identification documents, you can proceed with the application process to obtain your tax number in South Africa.

Section 2: Applying for a Tax Number

Applying for a tax number in South Africa is a relatively straightforward process. Here are the steps you need to follow to get your tax number:

1. Visit the South African Revenue Service (SARS) website at www.sars.gov.za.
2. Click on the “Register for Tax” option.
3. Read the information provided and click on the “Register for Tax” button.
4. You will be directed to the eFiling registration page. If you already have an eFiling profile, you can log in. If not, you will need to create a new profile.
5. Fill in all the required personal information, including your name, ID number, contact details, and banking details.
6. Once you have completed the registration form, submit it.
7. You will receive an email confirmation with your tax number and further instructions on how to complete the registration process.
8. Follow the instructions provided in the email to finalize your tax registration.

It is important to note that the process may vary slightly depending on your individual circumstances. If you encounter any difficulties or have specific questions, it is recommended to contact the SARS helpline for assistance.

Online Application Process

To obtain a tax number in South Africa, you can follow the online application process. This method offers a convenient and efficient way to apply for a tax number without the need to visit a physical tax office.

Here is a step-by-step guide on how to apply for a tax number online:

1. Visit the South African Revenue Service (SARS) website.
2. Create an account if you don’t have one already.
3. Login to your account using your username and password.
4. Select the option to apply for a tax number.
5. Fill in the required information, such as your personal details, contact information, and employment status.
6. Provide any supporting documents that may be required, such as your identification documents or proof of employment.
7. Review the information you have provided and submit your application.
8. Wait for the confirmation of your tax number. This confirmation is usually sent via email or can be accessed through your online account.

It is important to note that the online application process may vary depending on your individual circumstances. Some applicants may be required to provide additional information or documents, depending on their employment status or other factors.

Once you have obtained your tax number, you can use it for various purposes, such as filing tax returns, opening a bank account, or conducting business activities in South Africa.

Overall, the online application process for obtaining a tax number in South Africa provides a convenient and accessible way to ensure compliance with the country’s tax regulations.

In-Person Application Process

If you are in South Africa and would like to know how to get a tax number, you can follow the in-person application process. This method allows you to apply for a tax number in person by visiting a South African Revenue Service (SARS) branch.

To begin the process, you will need to gather the necessary documents. These typically include a valid identification document, such as your South African ID card or passport, as well as proof of address, such as a utility bill or lease agreement. It is important to have all the required documentation with you when you visit the SARS branch.

Once you have your documents in order, you can visit the nearest SARS branch. At the branch, you will need to request an application form for a tax number. Fill out the form with accurate and up-to-date information. Be sure to double-check all the details before submitting the form.

After completing the application form, you will need to provide the necessary supporting documents. This may include your identification document and proof of address. The SARS staff will review your application and supporting documents to verify your identity and address.

If everything is in order, you will be issued a tax number on the spot. The SARS staff will provide you with a confirmation letter or a tax number certificate. It is important to keep this document safe as you may need it for future reference, such as when filing your taxes or conducting business activities that require a tax number.

Remember that the in-person application process may require you to wait in line and spend time at the SARS branch. It is advisable to check the branch’s operating hours and plan your visit accordingly. Bring along any additional documents that may be requested by SARS to ensure a smooth and efficient application process.

In summary, if you are in South Africa and want to know how to get a tax number, the in-person application process involves visiting a SARS branch, completing an application form, providing the necessary supporting documents, and receiving your tax number on the spot. Make sure to bring all the required documentation and plan your visit accordingly.

Required Documents

When applying for a tax number in South Africa, you will need to gather the following documents:

• A completed application form, which can be obtained from the South African Revenue Service (SARS) website or their local office.
• A certified copy of your identification document (ID), such as a passport or South African ID card.
• Proof of residence, which can be a utility bill or a bank statement with your name and address.
• If you are a foreign national, you will need to provide a copy of your passport and a valid visa.
• If you are applying on behalf of a company or organization, you will need to provide additional documentation such as the company’s registration certificate and a letter of authorization.
• Any supporting documents related to your employment or business activities, such as bank statements, pay slips, or invoices.

It is important to ensure that all documents are valid and up-to-date, as incomplete or incorrect documentation may delay the process of getting your tax number in South Africa.

Section 3: Tax Number Activation

Once you have successfully registered for a tax number in South Africa, you will need to activate it before you can start using it for tax purposes. Here is a step-by-step guide on how to activate your tax number:

1. Visit the South African Revenue Service (SARS) website at www.sars.gov.za.
2. Click on the “eFiling” tab at the top of the page.
3. If you already have an eFiling profile, log in using your username and password. If you don’t have an eFiling profile, you will need to register for one.
4. Once logged in, click on the “SARS Home” tab.
5. Under the “I want to” section, click on “Activate a tax number”.
6. Enter your tax number and click on the “Activate” button.
7. Follow the on-screen prompts to complete the activation process.
8. Once your tax number is activated, you will receive a confirmation notification.
9. You can now start using your tax number for tax-related transactions in South Africa.

It is important to activate your tax number as soon as possible to avoid any penalties or complications with your tax obligations. If you encounter any issues during the activation process, you can contact the SARS helpline for assistance.

Verification Process

Once you have completed the application form to get a tax number in South Africa, you will need to undergo a verification process to confirm your identity and eligibility for a tax number.

The verification process involves submitting the necessary supporting documents to the South African Revenue Service (SARS). These documents may include:

• A certified copy of your identification document or passport
• Proof of residence, such as a utility bill or bank statement
• Proof of employment or income, such as pay slips or a letter from your employer
• Any other relevant supporting documents requested by SARS

It is important to ensure that all the documents you submit are valid, up-to-date, and certified copies. Failure to provide accurate and complete documentation may result in delays or rejection of your tax number application.

Once you have submitted the required documents, SARS will review and verify the information provided. This may involve contacting you for further clarification or documentation if needed.

After the verification process is complete and your application is approved, you will be issued a tax number by SARS. This tax number will be used for all your tax-related transactions and obligations in South Africa.

It is important to keep your tax number safe and secure, as it will be required for filing tax returns, paying taxes, and other tax-related activities. If you lose or forget your tax number, you can contact SARS for assistance in retrieving it.

Remember, obtaining a tax number in South Africa is a crucial step in ensuring compliance with the country’s tax laws. It is important to follow the necessary procedures and provide accurate information during the verification process to avoid any legal or financial consequences.