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Yes, SARS Can Take Your Passport – Here’s What South Africans Need to Know

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If you’re thinking of dodging taxes and slipping out of the country unnoticed—think again. The South African Revenue Service (SARS) has more power than you might realise, and one of its most forceful tools is the ability to confiscate your passport.

Thanks to the Tax Administration Act (TAA), SARS has sweeping authority to crack down on non-compliant taxpayers—whether you’re a billionaire, expat, foreign investor, or everyday business owner.

SARS Passport Powers: What the Law Says

Under the TAA, a senior SARS official can legally demand that a taxpayer surrender their passport. This is no idle threat. SARS has already used these powers in real cases—shutting down the idea that tax dodgers can just “pack up and leave.”

In fact, SARS can:

  • Enforce travel restrictions on South African passport holders.

  • Prevent foreigners from doing business in the country if their tax affairs are not in order.

  • Revoke business licenses, putting work and residency permits at risk.

  • Freeze bank accounts and even force businesses to stop trading.

In short: if you owe SARS, you’re not going anywhere.

Even Expats Aren’t Off the Hook

Tax experts Jashwin Baijoo and Delano Abdoll from Tax Consulting SA have warned that expatriates who remain tax residents of South Africa could also face these harsh penalties.

So even if you’re already living abroad, SARS may still come knocking—digitally.

A High Court Backing and Rising Enforcement

A recent High Court ruling in Pretoria upheld the constitutionality of SARS’ far-reaching powers, stating that the limitations on individual freedoms were “reasonable and justifiable” in a democratic society.

The court emphasized the public importance of efficient tax collection, essentially giving SARS a legal green light to continue cracking down.

Bank Accounts, AI and the Future of Compliance

SARS isn’t just relying on laws—it’s also going digital. Commissioner Edward Kieswetter has confirmed that SARS is monitoring bank accounts and comparing your lifestyle to your declared income.

This AI-powered system can spot red flags and build legal cases without human error, speeding up the enforcement process and targeting non-compliant taxpayers with laser precision.

Even Microsoft President Brad Smith gave a nod to SARS’ AI transformation during a recent visit to South Africa.

What This Means for You

Here’s the takeaway: if you owe SARS and think you can outsmart the system, think again.

Whether you’re:

  • A wealthy individual thinking of moving your assets overseas,

  • An expat who hasn’t sorted out your tax status,

  • A foreign investor doing business in South Africa,

  • Or simply someone who thinks SARS isn’t watching,

You could face travel bans, frozen assets, revoked passports, and an expensive legal mess.

Tax compliance is no longer optional—it’s essential. And now, more than ever, SARS has the tools to make sure everyone pays their fair share.

{Source: BusinessTech}

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