SARS - BUYERS AND SELLERS MUST HAVE A TAX NUMBER
🏠 From 8 December 2025, SARS requires that all buyers and sellers of South African property valued at R2 million or more have a valid South African income tax number. The only exception is foreign buyers; all sellers (including foreign sellers) must have a tax number.
Changes to Transfer Duty Applications – What Buyers and Sellers Need to Know
SARS has updated the rules for issuing transfer duty receipts on property transactions where the purchase price is R2 million or more. These changes are strictly enforced and can delay transfers if not addressed early.
Income Tax Numbers Are Now Essential
Both buyers and sellers must have a valid South African income tax number
If either party does not have one, SARS will not issue the transfer duty receipt
The Only Exception – Foreign Buyers
Non-South African tax residents who do not yet have a SARS tax number do not need one to buy
Foreign Sellers Are Not Exempt
All sellers, including foreign nationals, must have a SARS tax number
Registration is required before transfer can proceed
Married Individuals
If a buyer or seller is married (in or out of community of property), at least one spouse must have a tax number
What This Means in Practice
Check that all parties have tax numbers before finalising offers
Apply for a tax number immediately if needed
Foreign sellers should be advised early to register with SARS
Our Advice
These requirements have applied to transactions from 8 December 2025. Understanding them early saves time, stress, and unnecessary costs.