Two-Pot Retirement Withdrawals: Understand the Tax Before You Cash Out

The South African Revenue Service (SARS) has officially opened the 2025 Tax Season, with an expanded auto-assessment programme once again taking centre stage. Taxpayers are urged to check their status and act promptly to remain compliant.

Key Dates for 2025

  • Auto-assessments: Rolled out from 7 July to 20 July 2025
  • Individual (non-provisional) taxpayers: 21 July to 20 October 2025
  • Provisional taxpayers and trusts: 21 July 2025 to 19 January 2026

What’s New This Year

SARS has expanded auto-assessments to include a larger group of taxpayers. Using third-party data from employers, banks, medical schemes and retirement funds, SARS pre-populates returns and issues an assessment automatically. Where a refund is due, it is typically paid within 72 business days if banking details are correct.

What You Should Do

  • Confirm your contact and banking details are up to date on eFiling.
  • Review your auto-assessment carefully. If it is accurate, no action is needed.
  • If information is missing or incorrect, file a corrected return before the relevant deadline to avoid penalties.

Source: BusinessTech, “SARS announces auto assessment change for tax season 2025” (businesstech.co.za).

If you need assistance understanding how these developments affect you or your business, GZ & Co. is here to assist.

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