Registering for Tax on SARS eFiling — Step by Step

This is a friendly guide, not formal tax advice. SARS screens and rules change — the official links are inline and at the bottom. For your own numbers, a tax practitioner or TaxTim can help. Prefer to talk it through? Tap Ask.

This pairs with Choosing a Business Bank Account in South Africa and How to Register a Company on CIPC.

Part 1 — Why register for tax at all?

It can feel scary, but being registered helps you more than it hurts you:

• It's the law once you earn above the yearly threshold — and registering avoids penalties later.
• You get a Tax Compliance Status (TCS). This is the green light you need for tenders, big contracts, many good jobs, and some funding. No compliant tax record = no tender.
• You can get money back. Many people are owed a refund at tax time and never claim it.
• You build a financial record. A tax history helps you get a home loan, car finance, a business loan, or a visa.
• You pay tax only on profit, not on everything you earn (see Part 2). Registering is what lets you claim that.

Sole proprietor vs company — quick note. If you trade as yourself (sole proprietor), there's no separate "business tax" — your business profit is added to your own income and taxed at your personal rate. You usually register as a provisional taxpayer. If you have a registered company (see the CIPC guide), the company is its own taxpayer and is normally registered for tax automatically when you register it.

Part 2 — Why a business account + claiming expenses is powerful

This is the part most people miss. You are taxed on profit, not turnover.

Profit = Money in − Business expenses.

So every legitimate business cost you record lowers the amount you're taxed on. Things a clothing maker could claim include:

• Fabric, thread, zips, buttons (your stock/materials)
• Sewing machine and equipment (claimed over time as it wears — "depreciation")
• Rent for a workspace, and a portion of electricity/water if you work from home
• Data, airtime, and phone used for the business
• Marketing — boosted posts, a market-stall fee, printing
• Transport to buy materials or deliver orders
• Bank fees on the business account

Why the business bank account matters here: when business money runs through one dedicated account, every business expense has a bank record — which is your proof to SARS. No digging through personal spending. Clean account = easy, honest claims = less tax, legally.

The honest truth (so SARS never bites you):

• You can only claim expenses that were for the business, to earn income.
• You cannot claim personal spending (groceries, your own clothes, a night out).
• Keep the slips/invoices. The bank record shows the payment; the slip shows what it was for. SARS can ask.
• Keep records for 5 years. Done right, this isn't a trick — it's exactly how tax is meant to work. You pay tax on what you kept, not on what you spent to run the business.

Expense guidance: SARS deductible business expenses (QuickBooks) and Sage — what you can and can't claim.

Part 3 — Register on SARS eFiling (step by step)

You can do this online at efiling.sars.gov.za, or on the SARS MobiApp (phone).

Phone or computer? The SARS MobiApp is great for an individual registering and filing a normal return (ITR12). But it does not handle provisional tax, VAT, or company tax — for those, use the full eFiling website on a computer.

A. Create your eFiling profile

1. Go to efiling.sars.gov.za (or open the SARS MobiApp and tap Register).
2. Click Register.
3. Choose Individual (this is you, even if you're a sole proprietor).
4. Enter your South African ID number, full name, email, and cellphone.
5. SARS sends a One-Time Pin (OTP) to your phone/email — type it in to verify it's you.
6. Create your username and password. Keep them safe.
7. If you don't have a tax number yet, SARS usually issues one automatically during this process. You'll see it on your eFiling profile.

B. Make sure your details are right

8. Log in and check your profile — ID, address, bank details, email, and cell. SARS pays refunds to the bank account on file, so get it correct.

C. Add the right "tax type" for a business owner

9. On the top menu go to Home → User → Tax Types → Manage Tax Types.
10. Tick Provisional Tax (IRP6) (this is the normal one for self-employed people and business owners), then click Submit. Guide: TaxTim — register for provisional tax.
11. If you have a company, also make sure the company's Income Tax is linked (it's usually auto-registered when you register at CIPC/BizPortal).

D. Done — now you just file

12. Provisional taxpayers file twice a year (an estimate in Aug, another in Feb) plus the normal annual return. eFiling does the maths once you enter your income and expenses.

Quick "what about…" answers

• Do I need to register for VAT? Only required once turnover passes R1 million in 12 months. You may register voluntarily above R50,000, but it adds admin — most small makers wait. See SARS VAT.
• When does tax season open? SARS announces dates each year — check the SARS Filing Season page.
• What if it's confusing? TaxTim walks you through it in plain questions, or use a registered tax practitioner.

Your tax checklist

1. Register on eFiling (or the MobiApp) with your ID + OTP.
2. Check your bank details are correct on your profile.
3. Add Provisional Tax (IRP6) if you run a business.
4. Run business money through a business bank account.
5. Keep every slip and record expenses — you're taxed on profit, not turnover.
6. File on time (provisional = twice a year).

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Stuck on a step? Tap Ask and describe where you're stuck.

Sources

• SARS — Register for eFiling (official)
• SARS — Guide to Provisional Tax
• TaxTim — How to register for provisional tax on eFiling
• QuickBooks — SARS deductible business expenses
• Sage — What you can and can't claim