Deferral of PAYE Liabilites for SMMEs

Tax compliant SMMEs with an annual turnover of no more than R50 million can receive cash flow relief by delaying payment of a portion of their PAYE liabilities.

OVERVIEW

Tax compliant SMMEs with an annual turnover of no more than R50 million can delay payment of a portion of their PAYE liabilities for a limited period of four months – from 1 April 2020 to 31 July 2020.

  • SMMEs can defer payment of 20% of their employees’ tax (PAYE) liabilities due and payable without penalties and interest.
  • The 20% deferral will be payable to SARS in equal instalments over a six month period, commencing on 1 August 2020 i.e. the first instalment must be paid by 7 September 2020.
  • There is no relief for the March payment due on 7 April 2020
  • Interest and penalties will apply if the employer understates the PAYE liability for any of the four months

APPLICABILITY PERIOD

1 April 2020 to 31 July 2020

QUALIFICATION CRITERIA

  • Note: Eligibility criteria for individuals carrying on a business have yet to be finalised
  • Tax compliant SMMEs
  • SMMEs with an annual turnover of no more than R50 million

WHERE CAN I FIND SUPPORT?

SARS Contact Centre on 0800 00 7277.

Contact.north@sars.gov.za
(North regions, including Pretoria, North West, Limpopo, Mpumalanga & West Rand)

Contact.central@sars.gov.za
(Central regions including East Rand, Soweto, Alberton & Vereeniging)

Contact.east@sars.gov.za
(Kwa-Zulu Natal)

Contact.south@sars.gov.za
(Western Cape)

You may also use online channels such as eFiling, the SARS MobiApp and e@syFile