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South Africa: Reminder, employer reconciliations due by 31 May 2019

South Africa: Employer reconciliations due by 31 May

Employers are required to submit reconciliations (via the EMP501 form) to the South African Revenue Service (SARS) by 31 May 2019 for the employee tax period 1 March 2018 through 28 February 2019.

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The “annual reconciliation” requires an employer to reconcile the amount of tax withheld from employees with the amount paid to SARS for the tax period ended 28 February 2019 and with the amount of tax declared on the employees’ tax certificates. This is an opportunity for employers to review the tax treatment of remuneration payments made or benefits provided to employees during the tax year and to correct any errors or omissions.

Employee withholding

Employers paying or required to pay remuneration to an employee must withhold tax in respect of that remuneration from the employee.

As part of the annual reconciliation process, employers may want to review their records in order to determine that all items of taxable remuneration were subject to withholding and verify that non-taxable remuneration paid to employees is disclosed correctly. If errors are discovered, they may be corrected through the reconciliation process. 

Payments to SARS

Employers are generally required to remit all employees’ tax withheld to SARS by the seventh day of the month following the month when the remuneration was paid. If corrections to the monthly amounts are required, these can be made via the EMP501 form.


Read an April 2019 report [PDF 118 KB] prepared by the KPMG member firm in South Africa

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