CIPC & SARS hub
The two authorities every SA business deals with most. Here's how annual returns, tax compliance status, provisional tax and the VAT threshold actually work.
Reviewed 2026-06-25. General information — confirm specifics with SARS and CIPC.
The R1 million VAT line
Track your rolling 12-month turnover. From 1 April 2026 the compulsory VAT registration threshold rose to R2.3 million (up from R1 million), and voluntary registration is allowed from R120 000 (up from R50 000). The instant taxable supplies pass R2.3 million, registration is compulsory — and SARS can backdate liability if you miss it.
R120k+
Voluntary
Approaching R2.3m
Prepare to register
R2.3m
Compulsory
Thresholds are set in the annual Budget — always confirm the current figure with SARS.
CIPC annual returns
Every registered company and close corporation must file an annual return with CIPC to confirm it is still trading. The deadline is tied to your incorporation date, not your tax year-end, and the fee scales with turnover. Missing it is the single most common reason small companies get deregistered — set a yearly reminder for your anniversary month.
Beneficial ownership (don't skip this)
Since 2023 companies must file their beneficial owners — the natural persons who ultimately own or control the company, generally a 5% or greater interest — with CIPC. Since mid-2024 CIPC will not accept your annual return until the beneficial ownership declaration is filed, and changes must be updated within days. It is now a gateway to staying registered, and a frequent reason annual returns get blocked.
SARS Tax Compliance Status (TCS)
"Tax clearance" is now digital. Request a TCS PIN on eFiling and give it to a client, tender or bank so they can verify your compliance in real time. Keep your returns and payments up to date or your status flips to non-compliant — which can cost you a contract overnight.
Provisional tax
Companies and many individuals are provisional taxpayers: you estimate taxable income and pay in two instalments (six months in, and at year-end), with an optional third top-up to avoid interest. Under-estimating triggers penalties, so base your estimate on real figures.
Income tax returns
A company files its ITR14 within 12 months of its financial year-end, supported by annual financial statements. Sole proprietors declare business income on their personal ITR12 in the annual filing season.
Frequently asked questions
When must I register for VAT in South Africa?
VAT registration is compulsory once your taxable turnover exceeds the threshold in any consecutive 12-month period. From 1 April 2026 that threshold rose to R2.3 million (previously R1 million), with voluntary registration from R120,000 (previously R50,000). Watch your rolling 12-month turnover, not your financial year, and confirm the current figure with SARS — they can backdate liability if you register late.
What replaced the SARS tax clearance certificate?
The printed Tax Clearance Certificate was replaced by the Tax Compliance Status (TCS) system. You request a TCS PIN on SARS eFiling and share it with a client, tender or bank, who then verifies your real-time compliance status online. You can request a PIN for "Good Standing" or for a specific tender.
What is a CIPC annual return and when is it due?
A CIPC annual return is a yearly confirmation that your company or close corporation is still active. Companies file within 30 business days after the anniversary of their incorporation date; close corporations file from the first day of their anniversary month over the following two months. The fee scales with turnover. If you do not file, CIPC may assume the business is dormant and start deregistration.
What happens if my company is deregistered by CIPC?
Deregistration means the company legally ceases to exist: it can no longer trade, contract or bank in its name, and its assets can be forfeited to the state. It is usually caused by not filing annual returns. Re-instatement is possible but slow and costly — filing on time is far cheaper.
Never miss a CIPC or SARS deadline
Build your free calendar, or let NanoLeap handle the filings for you.