Over the past few months, SARS has stepped up enforcement around outstanding trust returns. Final demand notices are being issued where returns have not been submitted, even in cases where the trust is dormant or had no income for the year. These notices come with strict deadlines and real consequences if ignored.

The common problem we are seeing is not intentional non-compliance. In most cases, it is one of the following:

• Trustees assumed the accountant was handling the filings, while the accountant believed the trust was inactive.
• The trust profile on eFiling is incomplete or outdated.
• Returns were missed because there was no taxable income and no one realised a nil return was still required.
• Changes in trustees, addresses, or banking details were never updated with SARS.

Unfortunately, SARS does not distinguish between an active trust and a dormant one when it comes to compliance. If a return is outstanding, penalties can be raised monthly, and matters can escalate quickly if there is no response.

This is why a simple check-in with your accountant can make a meaningful difference.

A short conversation can confirm:

• Whether all trust returns have been submitted for recent years
• Whether the trust’s SARS profile is active and accurate
• Whether any penalties or correspondence have already been issued
• Whether anything needs to be corrected or regularised before deadlines expire

If you are a trustee, this is part of your responsibility, even if the day-to-day work is delegated. The good news is that most issues can be resolved easily when picked up early. Left unattended, they tend to become far more expensive and stressful than they need to be.

If you are unsure who your accountant is, or you do not have their contact details on hand, you are welcome to reach out to your local branch manager for assistance:

• Pretoria branch: Leane Grobbelaar – [email protected]
• Cape Town branch: Anneline Lamond – [email protected]
• KwaZulu-Natal branch: Karishma Singh – [email protected]

If you have not reviewed the status of your trust recently, now is a sensible time to do so. Reach out, ask for confirmation, and make sure your trust is fully up to date. A small check today can prevent a much bigger problem tomorrow.

Article written by:
The Managing Director of Destinata Accounting, Zirk Coetzee