SARS PIT Modernisation Project – Update for All Members
Background
In a meeting in February 2020, SARS briefed the PAGSA on their plans for the SARS Vision 2024 PIT project. During 2021, the PAGSA compiled seven lengthy documents for SARS that outlined important aspects of payroll processing of employment taxes for the Vision 2024 team at SARS. The purpose of these documents was to give SARS a better understanding of various aspects of payroll administration, and we engaged with SARS in a number of meetings to explain the practical difficulties of processing PAYE, SDL, UIF, and ETI on a weekly, fortnightly, and monthly basis as opposed to a relatively simple tax year end process when all the figures are known and final. Meeting on 25th January 2023
The process was taken a step further in a meeting between SARS and the PAGSA on 25th January 2023 during which more detail was discussed. Since then, SARS has requested that the “SARS Vision 2024 PIT” project name that was used from February 2020, should be changed to “SARS PIT Modernisation”. ‘PIT’ is an abbreviation for ‘Personal Income Tax’ and is a generic term for various forms of taxes for individuals that includes PAYE, Provisional tax, and Income tax. It goes without saying that the changes to the administration of PAYE that will require payroll system development will have a direct impact on PAGSA payroll supplier members. Heads-up for Payroll Suppliers
At this stage, if the roll-out of the Vision 2024 PIT project (that includes monthly tax certificate submissions) proceeds as planned, then payroll suppliers must prepare themselves for significant changes to their payroll systems soon after the start of the 2023/24 tax year. You will be advised of progress as the project proceeds, and more detail will be issued to you as soon as it becomes available. Regards,
Rob Cooper
Chairman Payroll Authors Group of South Africa
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