Effective from 1 January 2009 SARS issued legislation regarding new tax administrative penalties.

These penalties may be imposed for non-compliance in respect of the following:

* Failure to submit your tax return before the tax deadline

* Failure to register as an employer

* Failure to register as an taxpayer

* Failure to submit an estimate of taxable income for provisional tax

* Failure to provide evidence when requested by SARS

Herewith a link to the table of penalties

SARS Tax Administrative Penalties

These penalties will automatically increase every month that the taxpayer fails to comply. The penalty will be limited to a maximum of 35 months. If SARS is not in posession of the taxpayers current adress the period will be increased to 47 months.

Penalties may be waived by SARS if a taxpayer can provide good reason for non-compliance.