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.

At Property Decoded, we make sure you understand the process — keeping things simple, simply decoding property.