“Income verification” is a service the South African Revenue Service offers. This is an important part of accounting that ensures the numbers are correct, and rules are followed.
To ensure that the income people and businesses report to SARS is correct, accountants carefully review their financial records, tax returns, and other supporting documents.
To ensure the reported earnings are correct, bank statements, payroll records, and other financial papers are compared.
A careful look at these details not only protects the stability of the economy but also helps find possible problems which stop tax evasion or fraud. Strong SARS income verification systems improve financial openness and help create a trustworthy and responsible accounting system for all people and businesses.
Let us give you more details on SARS tax verification and how to verify your SARS account.
What is SARS income tax verification?
SARS verification is an important part of the tax assessment process that makes sure the information a client gives is correct and fair.
The process of verification includes a full review and comparison of the tax return information with the taxpayer’s financial and accounting records, as well as other supporting papers.
The main purpose of SARS verification is to make sure that the tax return information given by the taxpayer is a true and exact picture of their financial situation.
This process helps to make sure that people follow tax laws and rules, which makes the tax system more open and fair. SARS wants to make sure that the taxpayer’s tax situation is shown correctly and in line with the tax laws by carefully reviewing the information given and matching it with the taxpayer’s financial records.
During the verification process, tax officials may ask the taxpayer for more proof or information to support what they said on their tax return.
This could include bank records, invoices, receipts, and other important financial papers. So that we can be sure that the tax assessment is based on accurate and reliable information, our goal is to get a full picture of the taxpayer’s financial actions.
SARS verification is a key part of making sure that people pay their taxes and that the information they give is correct.
By checking these things, tax officials can find and fix any mistakes, which makes the tax system more reliable overall.
Also, the verification process is a strong deterrent that keeps taxpayers from giving false information or trying to change their tax burden.
This is all to say that SARS proof is an important part of the South African tax assessment process. A close look at the information on the tax return compared to the taxpayer’s financial and accounting records is needed.
This is done to make sure that the taxpayer’s tax situation is shown fairly and properly according to the tax laws and rules that apply.
How do I verify my SARS account?
Here is a simple step to help you go through the SARS verification on your account.
- Login to eFiling and make sure you have permission to check your tax compliance status.
- Set up user groups and rights to turn on the service. This is a one-time thing that you have to do after logging in.
- In the system, click on “Tax Status” and then select “Tax Compliance Status Verification.”
- Finish activating the software and setting up user groups and rights as needed.
- To check, click “New Verification Request” and enter the taxpayer’s PIN and reference number.
- Check the information with the intended taxpayer to make sure they are correct.
- The system will show the taxpayer’s present compliance status with a description and a color-coded indicator.
How long does SARS take to complete verification?
After all the needed documents have been uploaded it can take a couple of days for SARS to complete your verification.
This SARS verification usually takes about 14 to 21 working days. The timeline is subject to change due to system transition, processes or errors.
What documents are needed for SARS verification?
The documents needed for SARS verification are vital. Without the provision of these documents, your SARS application can be considered null and void. These file types must be used when SARS asks for supporting documents: pdf, doc, docx, xls, xlsx, gif, jpg, jpeg, bmp, and png.
Documents should not be blank, hidden, or protected by a password.
Here are the documents needed for SARS verification.
- A copy of your valid identification document
- Proof of residential address
- A clear image of yourself with your ID card in hand
- Bank statement within 3 months of submission
How long does SARS take to pay out after verification?
You may be wondering why SARS has not yet sent you your tax refund if you have already filed your return and have not been chosen for either verification or audit. The amount of time SARS takes to pay back a refund is not set in stone. If your return is finalised and you have not gotten your refund within 72 hours, you should contact them. These 72 hours are equal to two to three business days.