How to Get a Tax Clearance Certificate (Good Standing)
A SARS tax clearance certificate (now called a Tax Compliance Status or TCS) confirms that your tax affairs are in order and that you do not owe SARS any outstanding taxes or returns. It is required for government tenders, emigration, certain business transactions and bank financing. The certificate is now issued as a PIN that third parties can verify online.
What Is Tax Compliance Status (TCS)?
SARS replaced the traditional paper tax clearance certificate with a digital Tax Compliance Status (TCS) system. Instead of a physical certificate, SARS issues a TCS PIN that is valid for a specified period.
Third parties such as government departments, banks or business partners can use this PIN to verify your tax compliance status directly on the SARS website, without you needing to submit a paper document.
The most common TCS type requested is Good Standing, which confirms that all your tax returns are filed and all taxes are paid up to date.
When Do You Need Tax Clearance?
- Applying for government contracts or tenders (mandatory under the PFMA and MFMA)
- Emigrating from South Africa (financial emigration clearance)
- Applying for a foreign investment allowance (to transfer funds abroad)
- Business licence applications at some municipalities
- Bank financing for business or property transactions
- Applying for certain professional licences
- When a client or supplier requests proof of your tax compliance
How to Apply for Tax Clearance on eFiling
- Log in to www.sarsefiling.co.za with your username and password.
- Click on Tax Status in the top menu (previously found under Returns).
- Select Tax Compliance Status Request.
- Choose the type of TCS required: Good Standing, Foreign Investment Allowance, Emigration or Tender.
- Confirm your personal and tax details and submit the request.
- SARS will process your request and issue a TCS PIN if you are compliant. This usually happens within a few seconds to a few hours for straightforward cases.
- Share the PIN with the requesting party who can verify it at www.sars.gov.za under Online Services.
If your TCS request is declined, log in to eFiling and check your account for any outstanding returns or balances. File missing returns and arrange to pay any amounts owing before re-applying.
What Prevents You from Getting Tax Clearance?
SARS will not issue a tax clearance certificate if you have any of the following outstanding issues:
- Unfiled tax returns for any year
- Unpaid tax assessments or SARS debt
- Disputed assessments that have not been finalised
- VAT, PAYE or provisional tax arrears (for businesses)
- A payment arrangement that is in default
Validity and Sharing of the TCS PIN
The TCS PIN for Good Standing is valid for one year from the date of issue, provided your tax affairs remain compliant. If you incur new tax debt or fail to file a return, the PIN may become invalid.
You can share the PIN with as many parties as needed during its validity period. Each party can independently verify your compliance status online without contacting SARS.
For tender applications, some government departments require the PIN to be valid as at the closing date of the tender. Apply in advance to ensure the PIN is current.
Tax Clearance for Emigration and Foreign Investments
Taxpayers wishing to formally emigrate from South Africa or transfer large amounts of money abroad require a specific TCS for emigration or foreign investment allowance. These applications require additional information and may take longer to process.
The annual single discretionary allowance of R1,000,000 does not require TCS. However, the foreign capital allowance of R10,000,000 per adult per year requires a TCS for Foreign Investment Allowance.
Contact SARS International Tax on 0800 00 7277 or email the relevant unit for assistance with emigration TCS requests.