SARS Is Stepping Up Enforcement - What South Africans in the UK Need to Know

The recently announced South African Budget contains a clear and important message: SARS is significantly increasing its compliance and audit activity.

A major part of this strategy is the “Amabillions” campaign, where SARS is investing heavily in technology, enforcement, and specialist audit teams to recover billions of rand in unpaid or incorrectly reported taxes.

For South Africans living abroad, particularly those in the UK, this matters more than ever.

Many taxpayers believe that because they live outside South Africa they are no longer on SARS’ radar. The reality is quite different. SARS now has more data, better systems, and stronger international cooperation than ever before.

The Budget confirms that compliance enforcement will be a major focus going forward.

Below we explain what this means in simple terms and how SAUK Tax can help.

1. What is the SARS “Amabillions” campaign?

“Amabillions” is SARS’ initiative to collect billions of rand in outstanding taxes through stronger enforcement and compliance reviews.

To do this, SARS is:

• Expanding audit and investigation teams• Investing heavily in AI and data analytics• Increasing cross-border information sharing• Targeting high-risk taxpayers and expatriates• Reviewing historic filings and residency claims

In practical terms, this means many more taxpayers will receive queries, verifications, and audits.

And importantly, these reviews are often triggered automatically by data mismatches, not necessarily because a taxpayer has done something intentionally wrong.

2. Why this matters for South Africans living in the UK

If you have any ongoing connection to South Africa, SARS may still expect tax reporting from you.

This commonly includes people who:

• Previously lived in South Africa

• Own South African property or investments• Receive income from South Africa

• Have not formally ceased tax residency

• Have not filed tax returns for several years

• Claimed foreign employment exemptions in the past

Many people assume that leaving South Africa automatically ends their tax obligations.

Unfortunately, that is rarely the case.

SARS determines your status based on tax residency rules, not simply where you live.

As a result, we are increasingly seeing cases where:

• SARS requests historic tax returns

• SARS challenges tax residency status

• SARS asks for supporting documentation

• SARS issues administrative penalties

• SARS opens formal audits

With the Amabillions campaign accelerating enforcement, these types of reviews are likely to become far more common.

3. Common issues we are seeing

At SAUK Tax we are already assisting many individuals who have been contacted by SARS.

Some of the most common situations include:

• Unfiled tax returns

Many South Africans abroad stopped filing once they left the country. SARS is now identifying these gaps.

• Incorrect tax residency assumptions

Leaving South Africa does not automatically terminate tax residency. A formal process is often required.

• Foreign income reporting

SARS may request details of employment income earned overseas.

• Financial emigration / cessation of residency

Where this process was never completed, SARS may still consider someone resident.

• Data mismatches

Information from banks, financial institutions, and international tax reporting agreements can trigger queries.

Often these situations can be resolved - but professional guidance early in the process is extremely valuable.

The good news: most issues can be resolved

While increased enforcement can sound worrying, in many cases the solution is straightforward once the situation is properly reviewed.

For example, we often help clients:

• Regularise outstanding tax returns

• Confirm and document non-residency status

• Respond to SARS verification requests

• Manage audits or compliance reviews

• Correct historic filings• Ensure future compliance

Our role is to simplify the process and deal with SARS on your behalf wherever possible.

Why early action matters

One of the biggest mistakes we see is waiting until SARS enforcement escalates.

Early intervention often means:

• Faster resolution

• Lower penalties

• Less stress

• Clear documentation of your tax position

If SARS contacts you and you are unsure how to respond, it is always better to seek advice early.

How SAUK Tax can help

SAUK Tax specialises in cross-border tax matters between the UK and South Africa.

Our team works with South Africans living abroad to help them understand and manage their obligations in both jurisdictions.

We regularly assist with:

• SARS compliance reviews

• Audit and verification responses

• Tax residency analysis

• Catch-up filings for historic returns

• Cross-border tax planning

• UK–South Africa tax coordination

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Our goal is simple: to give clients clarity and peace of mind when dealing with complex cross-border tax issues.

If you receive communication from SARS such as:

• A verification notice

• An audit notification

• A request for supporting documentation

• A notice about outstanding tax returns

  
  

Please do not ignore it.

Deadlines are often short, and early professional support can make the process significantly easier.

If you would like to review your South African tax position - or if you have already been contacted by SARS - our team would be happy to assist.

You are welcome to contact us for an initial discussion.

A final thought

The South African Budget makes one thing very clear:

SARS is increasing enforcement and expects greater compliance.

For South Africans living abroad, this does not need to be a concern - provided your affairs are properly structured and up to date.

This communication is intended for general information purposes only and should not be considered tax advice. Specific advice should be obtained based on your individual circumstances.