- Cancellation of VAT Hike: South Africa’s National Treasury has canceled the proposed VAT increase from 15% to 16%, originally set for June 1, 2025, due to public feedback and economic concerns, providing temporary relief to households and small businesses, while requiring companies to revert changes made in preparation for the hike.
- Plans for Mandatory E-Invoicing: The South African Revenue Service (SARS) is planning to implement mandatory e-invoicing by 2028, aiming to enhance digital tax reporting and reduce tax fraud, which currently costs the nation between ZAR 22 billion and ZAR 50 billion annually. A public consultation on the technical and legal requirements for this initiative is anticipated in late 2025.
- Preparation for E-Invoicing: Businesses are encouraged to audit their billing systems and train staff on e-invoicing processes to ensure compliance with future requirements. Transitioning to e-invoicing-compliant software can facilitate faster invoice reconciliation, minimize errors, and maintain operational efficiency in light of upcoming digital tax mandates.
Source: avalara.com
- See also
- Join the Linkedin Group on Global E-Invoicing/E-Reporting/SAF-T Developments, click HERE
