SARS Strengthens PAYE Compliance with 500 New Hires
27 May 2025
The South African Revenue Service (SARS) is making bold moves to tighten PAYE compliance, hiring 500 new staff members as part of a broader effort to recover billions in unpaid taxes. This initiative is not just about revenue collection—it’s about reinforcing accountability and ensuring businesses meet their tax obligations.
Why the Focus on PAYE?
PAYE (Pay-As-You-Earn) is a critical component of South Africa’s tax system, ensuring that employees’ income tax is deducted at the source. However, non-compliance has been a growing concern, with many businesses failing to submit accurate payroll data or neglecting their tax responsibilities altogether. SARS has now made it clear: errors, delays, and non-compliance will no longer be tolerated.
The Hiring Drive: What It Means
SARS is bringing in 500 new staff members to bolster its enforcement efforts, with plans to expand this number to 2,000 over time. The goal? To collect an estimated R70 billion in additional taxes over the next three years. This hiring spree signals a shift towards stricter oversight, with businesses urged to review their payroll systems and ensure they are fully compliant. openHR resolves this by giving employers a free payroll and HR system.
Implications for Employers
For businesses, this means heightened scrutiny. Companies that fail to meet PAYE requirements could face audits, penalties, and even legal action. Employers must ensure their payroll systems are accurate, up to date, and aligned with SARS regulations. The tax authority now has the manpower and technology to enforce compliance more effectively than ever before.
Auditing of PAYE by SARS
More Posts
⚖️ What Are Your Rights During a Department of Labour Compliance Blitz?
When the Department of Labour conducts a surprise inspection, it can feel like a raid. But employers have rights - and knowing them can make all the difference. read more
August 17, 2025
🛡️ How to Survive Tariffs Like Trump Survived an Assassination: A Guide for South African Employers
In July 2024, former U.S. President Donald Trump survived an assassination attempt at a Pennsylvania rally — a moment that stunned the world and underscored his reputation for defiance under pressure. Now, in 2025, his sweeping tariff policies are shaking global markets and forcing employers to rethink sustainability, staffing, and cost control.
For South African businesses, especially those exporting to the U.S. or relying on global supply chains, Trump’s tariffs — ranging from 15% to 30% on African exports — are more than political posturing. They’re a direct hit to profitability, employment, and long-term planning. read more
