Bookkeeping

VAT registration threshold in South Africa

From 1 April 2026, SARS guidance says compulsory VAT registration applies above R2.3 million in taxable supplies, with voluntary registration above R120,000 subject to rules.

What it means

From 1 April 2026, SARS guidance says compulsory VAT registration applies above R2.3 million in taxable supplies, with voluntary registration above R120,000 subject to rules.

The practical goal is to reduce missing information, prevent avoidable delays and create a cleaner handover for the next step.

What to prepare

Start with company records, bank statements, invoices, ownership details and the specific requirement from the bank, funder, tender team, CIPC, SARS or partner practice.

Keep source documents organized by month and service type so exceptions can be reviewed quickly.

Bookkeeping boundary

Bookkeeping support prepares records, schedules and reconciliations. Tax submissions, opinions and professional sign-off must be scoped with the responsible registered practitioner where required.

Current SARS threshold note

As of the 2026 SARS guidance reviewed on 30 April 2026, compulsory VAT registration applies above R2.3 million in taxable supplies from 1 April 2026, with voluntary registration above R120,000 subject to the rules.

Practical checklist

  • Bank statements
  • Sales invoices
  • Supplier invoices
  • Receipts and payment references
  • Payroll and VAT records where applicable

Questions people ask

Can Mitrend Accounting help with this?

Yes. Mitrend Accounting can help prepare checklists, records and support packs, with scope boundaries confirmed before work starts.

Is this professional legal or tax advice?

No. This resource is general guidance. Legal, audit, independent review and tax practitioner sign-off must be scoped with the appropriate professional.

Need help preparing the documents?

Last reviewed: 2026-04-30