Online Customs Declarations Now Compulsory for South African Travellers.
Last month, we reported on SARS’s broader move towards digital customs administration, including the introduction of online declarations for foreign-registered vehicles and the rollout of the South African Traveller Management System. From 1 July 2026, the next phase of that reform is now in effect: almost everyone entering or leaving South Africa must submit an online traveller declaration before travelling.
The requirement applies to South African citizens, residents and foreign visitors travelling through air, land, sea or rail ports. Children and infants must also be covered by declarations, although a parent or guardian may complete these on their behalf. Travellers remaining within a designated airport or seaport transit area are generally excluded.
Declarations must be submitted no more than 24 hours before departure. Travellers can use the SARS online Traveller Management System, the SATMS mobile application, the SARS MobiApp, or available QR-code and self-service facilities. They will need passport or travel-document details, travel and contact information, details of companions and, where relevant, information about goods, currency or business travel.
Even travellers with nothing to declare must complete the process. Goods exceeding the applicable duty-free allowance, commercial goods, restricted items, foreign-registered vehicles, and currency or negotiable instruments above the permitted threshold must be disclosed. Ordinary personal effects for personal use generally do not need to be individually declared.
After submission, SARS emails a confirmation containing instructions for Customs processing. Travellers should retain this electronically or in printed form and update the declaration if any details change. A failure to complete the form before arrival will not, by itself, prevent entry or departure. However, failing to make a complete and truthful declaration may result in delays, penalties, detention or forfeiture of goods.
Travellers should therefore make the declaration part of their standard pre-travel checklist rather than waiting until they reach the border.
Revenue Growth and Reform Financing Strengthen Government’s Fiscal Position.
South Africa recorded stronger national government revenue during the first three months of the 2026/27 financial year, while new multilateral financing has helped government meet its foreign-currency borrowing needs on favourable terms.
Revenue reached R241.5 billion in June 2026, up from R212.7 billion a year earlier. Cumulative revenue for April to June rose to R505.6 billion, compared with R454.1 billion over the same period in 2025. Expenditure amounted to R161.4 billion in June and R503.6 billion over the quarter, leaving government with a small cumulative surplus by the end of June.
The fiscal position has also been supported by a US$1.5 billion Development Policy Loan signed with the World Bank. The 15-year loan includes a three-year grace period and carries an interest rate of six-month SOFR plus 1.35%. Together with financing from other multilateral development partners, it has enabled government to meet its full US$3.2 billion foreign-currency borrowing requirement for 2026/27.
The financing supports reforms in electricity, freight and logistics, and water and sanitation. These interventions are intended to ease infrastructure constraints, improve competitiveness and create a stronger foundation for inclusive growth and employment.
The South African Reserve Bank’s July assessment nevertheless highlights the difficult economic environment in which fiscal consolidation and reform must take place. First-quarter growth was stronger than expected, at close to 2% year-on-year, but this was driven by net exports rather than domestic demand. Growth is expected to slow during the second and third quarters as consumer and business confidence weaken and uncertainty weighs on investment.
The Reserve Bank also identified municipal dysfunction as an increasingly binding constraint on economic growth. It argued that South Africa’s longer-term prospects depend mainly on domestic reforms, including fixing local government, improving transport and energy productivity, maintaining sustainable debt and securing permanently lower inflation.
Treasury Publishes 2026 Draft Tax Bills for Public Comment.
National Treasury and the South African Revenue Service have released two draft bills containing the tax measures announced in South Africa’s 2026 Budget. The proposed legislation is open for public comment until 28 August 2026.
The draft Taxation Laws Amendment Bill focuses on substantive tax policy changes. One proposal would require the minimum-value threshold applying to multiple living annuities held with the same insurer or fund to be calculated cumulatively, supporting the protection of retirement income.
Treasury also proposes restricting the donations tax exemption between spouses to transfers made to a spouse who is a South African tax resident. The measure is intended to prevent couples from staggering the termination of their tax residency to avoid donations tax and capital gains tax.
For companies operating in special economic zones, the current anti-profit-shifting provision would be replaced with an arm’s-length pricing rule for transactions between qualifying businesses taxed at 15% and related companies outside the zone. Other proposals address VAT clawbacks on leasehold improvements and clarify when carbon-tax refunds linked to compliance with carbon budgets may be claimed.
The accompanying draft Tax Administration Laws Amendment Bill concentrates on compliance and administration. Proposed changes would enable South Africa to adopt electronic customs documents for temporarily imported goods, strengthen the records required when vendors claim notional VAT inputs on second-hand goods, and expressly allow banks to screen suspicious tax refunds either before or after depositing them.
Taxpayers using the voluntary disclosure programme would also be permitted to apply simultaneously for the remission of interest associated with disclosed defaults. Meanwhile, a Budget proposal concerning the supply of gold to banks has been excluded from the draft legislation pending further consultation.
Treasury and SARS have invited businesses, tax practitioners and other interested parties to submit written comments before the deadline. The consultation provides stakeholders with an opportunity to identify unintended consequences and influence the legislation before it is finalised.
Updates on CIPC Company Governance and Ownership Oversight.
The Companies and Intellectual Property Commission has issued new guidance on remuneration governance and beneficial-ownership compliance. New remuneration requirements under sections 30A and 30B of the amended Companies Act took effect on 22 May 2026. Public companies and state-owned companies must now prepare a remuneration policy and present it to shareholders for approval by ordinary resolution at the annual general meeting. They must also prepare an annual remuneration report covering the previous financial year and submit it for approval at the AGM.
The requirements generally apply to AGMs convened after the commencement date. However, an AGM held after 22 May 2026 will not be subject to the new provisions where a valid meeting notice was issued before that date. Where no valid notice had been issued by 22 May, the company must comply with the new remuneration rules.
CIPC has also reminded registered entities that it conducts physical and virtual inspections to verify the accuracy and completeness of beneficial-ownership information. Directors or members must attend inspections personally and cannot delegate this responsibility entirely to consultants, company secretaries or filing agents. Inspectors may request securities registers, shareholding structures, directors’ registers and documents identifying the individuals who ultimately own or control the entity.
Beneficial ownership generally refers to an individual who ultimately owns or effectively controls a company, with a reporting threshold of 5% ownership or control. Companies incorporated from 24 May 2023 must file this information within ten business days of incorporation. Older companies must submit it with their annual returns, while all entities must update their records annually within 30 business days after their anniversary date.
Failure to file accurate information may lead to compliance notices, administrative penalties or other enforcement. Knowingly submitting false or misleading details may also result in criminal prosecution. Should you require professional advice in this regard, please don’t hesitate to contact our offices.
