What happens if you Cannot pay SARS?

Last Updated on September 21, 2023 by ufiling


If you are unable to pay the South African Revenue Service (SARS), there can be several consequences. SARS is responsible for collecting taxes and ensuring compliance with tax laws in South Africa. Here are some possible outcomes if you cannot pay your tax obligations:

  1. Interest and penalties: SARS may impose interest and penalties on the outstanding amount. Interest accrues on the outstanding balance from the due date until the full payment is made. Penalties can vary depending on the type of tax and the circumstances.
  2. Debt recovery actions: SARS has the authority to take various debt recovery actions to collect the outstanding tax. These actions may include issuing a final demand letter, attaching your assets, garnishing your wages, or placing a judgment against you.
  3. Legal action: If you continue to ignore your tax obligations and fail to make payment arrangements, SARS can take legal action against you. This can result in a court judgment, which may lead to the seizure of your assets or the auctioning of your property to recover the tax debt.
  4. Restriction on services: SARS has the power to restrict certain services until your tax obligations are settled. For example, they may refuse to issue tax clearance certificates, which are often required for various business transactions.
  5. Compromise or payment arrangement: In some cases, SARS may consider a compromise or a payment arrangement based on your financial situation. This would involve negotiating a reduced payment amount or a structured payment plan to help you settle your tax debt over time. However, this is subject to SARS’ discretion and may require demonstrating a genuine inability to pay.

It’s important to note that failing to pay taxes can result in serious consequences, so it’s advisable to communicate with SARS as soon as possible if you are facing financial difficulties. SARS may be willing to work with you to find a suitable solution based on your circumstances.


Top 15 Online Courses and Degrees to improve your employability

Technology and Computer Science Online Courses and Online degrees:

– Computer Science 101 Online Course from Stanford University through edX is a beginner-friendly course that introduces the core concepts of Computer Science, available for free with an option for certification for a fee.
– Programming for Everybody Online degree — Getting Started with Python** by the University of Michigan on Coursera is intended as an entry-level coding class, freely accessible with an optional paid certificate.

Web Development: Online Courses and Online degrees

– Introduction to HTML offered by Codecademy covers HTML basics for free, with advanced options available through paid upgrades.
– Dash by General Assembly is a free course that teaches HTML, CSS, and JavaScript through hands-on project learning.

AI and Data Science: Online Courses and Online degrees

Introduction to Big Data Online Courses provided by the University of San Diego via Coursera delves into the fundamentals of big data, available at no cost with a certificate available for an extra charge.
Machine Learning Online Degrees by Stanford University on Coursera is a broad course on machine learning, data mining, and statistical pattern recognition, free to access with optional certification.

Business and Management: Online Courses and Online degrees

The PG Diploma in Data Science Online Course from IIIT-B focuses on a variety of programming languages and tools and is developed in partnership with leading industry players.
– A Business Analytics Certification Online degree draws attention especially for those targeting analyst and managerial roles, covering essential tools for analytics and data visualization.

Cloud Computing: Online Courses and Online degrees

– The Advanced Certification in Cloud Computing is targeted at engineering graduates looking to fill roles such as Cloud Developer or Cloud Architect.

Project Management and Software Development: Online Courses and Online degrees

Online degrees in Project Management from leading universities incorporate essential management concepts and business communication.
– The MSc. in Computer Science Online degree from Liverpool John Moores University provides the same level of quality and exposure as on-campus degrees through an 18-month online format.

Cybersecurity: Online Courses and Online degrees

The Advanced Certificate Programme in Cyber Security by upGrad and IIIT-B offers an in-depth learning experience over 12 months, combining content hours, projects, and live sessions.

Platforms Offering Diverse Learning Opportunities: Online Courses and Online degrees

FutureLearn offers accelerated courses, microcredentials, and professional certificates across multiple fields with various payment options including subscriptions.
Coursera partners with over 275 universities and organizations worldwide, offering a wide range of degrees and professional certificates.
Udacity specializes in IT and technology courses, with nanodegrees and programs designed in collaboration with industry leaders.
– Codecademy focuses on coding and programming, providing free learning opportunities in various coding languages with additional professional development programs.

These courses and degrees are designed to equip individuals with in-demand skills across various sectors, enhancing employability and providing valuable certifications. Whether interested in technology, data science, business, or other areas, these online resources offer flexible and comprehensive ways to learn and advance in your career.