South African Revenue Service (Sars) Commissioner Edward Kieswetter targets social media influencers to recover R513 billion in unpaid taxes. Image: Daily Investor.
(The Post News) – In a bid to recover R513 billion in unpaid taxes, the South African Revenue Service (SARS) is beginning to intensify its crackdown on tax evaders, especially social media influencers.
The move comes after a review by SARS deputy commissioner Johnstone Makhubu earlier this week revealed an almost R100 000 billion increase in unpaid taxes. While he attributed much of this to VAT and PAYE (Pay As You Earn), social media influencers have also come under the spotlight as SARS invests in AI, data analytics, and system upgrades to detect hidden income streams.
Influencers Caught in Tax Hunt
With the rise of content creation, social media influencing and influencer marketing have become a lucrative first or second source of income for many South Africans. Sponsorships, brand deals, and promotional activities can generate significant earnings; however, many influencers fail to declare this income properly to SARS.
Managing partner at Accountants on Point, Mohau Lebese, warns that even non-cash benefits or freebies—such as promotional free trips, products, or services—are considered taxable income, as they fall part of one’s gross income. Additionally, Lehasa noted that because some influencers lack this knowledge, they tend not to comply. Lehasa and SARS are encouraging influencers to get their tax affairs in check ahead of these system upgrades.
Tax attorney at Hobbs Sinclair Advisory, Geo Kilian, warns that “SARS is moving away from leniency towards a far more assertive posture.” If influencers fail to comply or declare their income, they could face audits, penalties, judgments, asset seizures, or even personal liability claims. In the worst scenario and with consistent noncompliance, criminal charges can be laid. Kilian adds that SARS is also increasingly using civil judgments and writs of execution to recover outstanding taxes rather than solely relying on third-party action.
Both Lehasa and Killian encourage compliance, which remains the most straightforward way to avoid trouble. Influencers are urged to register for tax, maintain detailed records of all sponsorships and brand deals, and declare both cash and non-cash benefits.
While social media influencers are a visible target, SARS’ intensified efforts are part of a broader initiative to recover the R513 billion owed to the state. Recovering these funds is critical for ensuring that essential services and public programs continue to operate effectively, thereby stabilizing and strengthening the country’s fiscus.
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