An entity or individual can apply for an tax clearance certificate (TCC) from the South African Revenue Services or SARS if all it is compliant and up to date with all its various taxes. The certificate is a written document printed by SARS and can include the compliance or income tax, provisional tax, PAYE or employees tax and VAT or value added tax. All return need to be files and be paid up to date.
A successful certificate is valid for a 12 month period.
The TCC would typically be requested from or for tenders or new accounts with suppliers. We also seen that clients request the certificate before settlement of their accounts. A further motivation for oneself is to make sure your accountant keep your records up to date with SARS.
Upon application you need to indicate whether this the certificate is for a "tender" or "good standing". If it is for a tender, you would need to provide the tender number.
Apply here for a tax clearance certificate
Some important conditions to be aware of before an application for a TCC :
- A taxpayer need to, at the very least, have a tax registration number
- All returns and payment are up to date
- All the various tax numbers need to be active. Tax registration numbers can be deregistered or put in suspense by SARS if not used frequently.
- Registration details (name of the entity) on the TCC application must be the same as information at SARS.
Before we do an application we always communicate with SARS to determine the current status of tax affairs of an client's entity. According to the new Tax Administration Act an application may take up to 21 working days to be issued or declined.
The advantage of us doing this on your behalf is that we, as registered tax practitioners, are allowed to make an appointment at SARS for a certain time slot.
By completing the form below, you will automatically receive a discounted fee of only R 550 (Vat excl) for a Tax clearance application.
Tax clearance certificate application