How auto-assessment works
Each year SARS uses third-party data from employers, banks, medical schemes, and retirement funds to assess taxpayers whose affairs are less complex. If your information is complete, SARS issues an auto-assessment by SMS, email, or notification. If you agree that the figures are correct, you do nothing. SARS processes the outcome, and any refund due is paid within 72 hours provided your details are in order.
For the 2026 filing season, the auto-assessment period ran from 1 to 12 July 2026. The broader filing period for provisional and non-provisional taxpayers who must submit returns runs from 13 July to 23 October 2026. Provisional taxpayers have until 22 January 2027.
Auto-assessment is convenient, but it is only as accurate as the data SARS holds. Business owners should never accept an assessment without checking it first.
Who gets auto-assessed
SARS selects taxpayers with less complex tax matters and whose information has been fully provided by third-party data providers. This typically means salaried individuals with standard deductions.
If you earn business income, rental income, or other income that third parties do not report to SARS, an auto-assessment may not capture your full tax position. Provisional taxpayers — which includes most business owners — must still submit a return even if they receive an auto-assessment notification.
Five things to verify before accepting
1. Salary and business income against your IRP5s
Compare the income on the assessment with your IRP5 certificates and your own records. If you run a business, check whether your business income, professional fees, commission, or freelance earnings are reflected. Third-party data often misses income that is not reported through payroll systems.
2. Deductions and allowances
Check that retirement fund contributions, medical scheme contributions, donations, and travel allowances are correctly reflected. If you claimed home office expenses, business travel, or wear-and-tear on business assets in prior years, confirm whether those deductions appear. Missing deductions mean you pay more tax than you owe.
3. Banking details
SARS pays refunds into the bank account on record. Confirm that the account number and branch details are current. Refunds paid into closed or incorrect accounts cause delays that can take weeks to resolve. Update your banking particulars on eFiling before accepting if anything has changed.
4. Third-party data gaps
Auto-assessments depend on data from employers, banks, medical schemes, and fund administrators. If any provider submitted late or incorrect data, your assessment will be wrong. Common gaps include:
- Medical scheme contributions not yet submitted
- Retirement annuity contributions made directly by the taxpayer
- Rental income not reported by managing agents
- Capital gains from asset disposals
- Foreign income or foreign tax credits
If any of these apply to you, file a return rather than accepting the assessment as is.
5. Your provisional taxpayer status
If you earn business income, you are likely a provisional taxpayer. Provisional taxpayers must submit returns for the full tax year and make provisional tax payments in August and February. An auto-assessment does not replace these obligations. Accepting an auto-assessment that omits your business income leaves you exposed to additional assessments, interest, and understatement penalties later.
What to do if the assessment is wrong
Do not accept it. File a tax return through eFiling or the SARS MobiApp with the correct figures. SARS allows you to submit a return that overrides the auto-assessment, provided you file within the filing season deadlines:
- Non-provisional taxpayers: 23 October 2026
- Provisional taxpayers: 22 January 2027
There is no need to visit a SARS branch to correct an assessment. SARS has asked taxpayers not to visit service centres unnecessarily and to use digital channels instead. A virtual waiting room manages high volumes on eFiling, and contact centres operate on weekdays from 08:00 to 16:00.
Key 2026 filing season dates
Do a pre-filing health check
Before the season closes, SARS encourages every taxpayer to confirm that personal details, banking particulars, contact information, and tax affairs are up to date. Outstanding returns from prior years, unfiled provisional payments, or incorrect contact details can delay refunds and trigger compliance notices.
For business owners, the health check should also cover:
- All IRP5 and IT3 certificates received and reconciled
- Business income records complete for the full tax year
- Expense claims supported by invoices and receipts
- Provisional tax payments for the year accounted for
- Tax compliance status PIN current (needed for tenders and contracts)
The bottom line
Auto-assessment works well when SARS holds complete data. For business owners with income beyond a salary, it rarely tells the full story. Checking the five items in this article takes less than an hour and can save a costly dispute later. When in doubt, file a return with the correct figures before the deadline.
SC Audit is an IRBA-registered audit firm based in Bellville, Cape Town. SC Audit’s partners Niel Schoeman, Simone Coetzee, and Hennie Meyer support business owners with tax compliance, provisional tax, SARS queries, and financial statement preparation. Contact SC Audit before the filing deadline to review your 2026 position.
Frequently Asked Questions
What is a SARS auto-assessment?
An auto-assessment is a tax assessment SARS issues using third-party data from employers, banks, medical schemes, and retirement funds. If the figures are correct, you do nothing. SARS processes the outcome automatically.
Do I still need to file if I was auto-assessed?
If every figure on the assessment is correct and complete, no further action is needed. If anything is missing or wrong — especially business income, rental income, or deductions — you must file a return with the correct figures before the deadline.
What are the 2026 filing season deadlines?
Non-provisional taxpayers must file by 23 October 2026. Provisional taxpayers have until 22 January 2027. The auto-assessment period ran from 1 to 12 July 2026.
How long does a SARS refund take?
If your banking details and tax affairs are in order, SARS issues refunds within 72 hours of finalising the assessment.
I am a provisional taxpayer and received an auto-assessment. What should I do?
Do not rely on the auto-assessment alone. Provisional taxpayers must submit a full return covering all income, including business income that third-party data does not capture. File through eFiling before 22 January 2027.