Tax season can be a stressful time for individuals and businesses alike. With deadlines approaching and financial matters at stake, it’s crucial to ensure that your tax affairs are in the hands of a qualified professional. But not just any tax preparer will do—you should only trust a registered tax practitioner.

Hiring an unregistered person to handle your taxes may seem like a cost-saving option, but it can lead to serious financial and legal consequences. Here’s why:

The Risks of Using an Unregistered Tax Practitioner

Risk of Incorrect Filings

Tax laws in South Africa are constantly evolving, and SARS regularly updates regulations and compliance requirements. An unregistered individual may not stay informed about these changes, which increases the likelihood of:

• Filing incorrect tax returns
• Missing important deductions or tax credits
• Miscalculating tax liabilities

Errors on your tax return can result in SARS imposing penalties or requiring additional payments, which could have been avoided by using a qualified and registered tax professional.

Potential for Fraud

An unregistered tax preparer lacks oversight and accountability, which creates a higher risk of fraudulent activities, including:

• Filing false returns in your name
• Submitting incorrect financial details
• Engaging in unethical tax schemes

If SARS identifies fraudulent activity linked to your tax return, you will be held responsible—even if you weren’t aware of the misconduct. This could lead to audits, fines, or even legal consequences.

No Accountability

A registered tax practitioner must comply with SARS regulations and uphold professional standards set by industry bodies such as the South African Institute of Tax Professionals (SAIT) or the South African Revenue Service (SARS) itself.

Unregistered individuals, however, do not have the same obligations and are not held accountable if they:

• Make errors on your tax return
• Fail to submit your tax documents on time
• Disappear without a trace, leaving you with unpaid taxes or penalties

Using a registered tax practitioner ensures that there is a level of accountability and recourse should any issues arise.

How to Verify a Tax Practitioner’s Credentials

Protect yourself by taking these simple but crucial steps before hiring someone to handle your taxes:

– Ask for Their Tax Practitioner Number
Every registered tax professional has a unique Tax Practitioner Number issued by SARS. Before proceeding with their services, request this number and verify their registration.

– Check Their Registration on the SARS Website
SARS provides an online verification tool that allows you to check whether a tax practitioner is officially registered. This step only takes a few minutes but can save you from unnecessary stress and financial risks.

Secure Your Financial Future by Choosing a Registered Tax Professional

Filing taxes is not just about submitting forms—it’s about ensuring compliance, protecting your financial well-being, and avoiding unnecessary penalties. By choosing a SARS-registered tax practitioner, you can have peace of mind knowing that your taxes are handled correctly and professionally.

Don’t take unnecessary risks. Always verify your tax practitioner’s registration before entrusting them with your financial information.