🚨 SARS Interim Employer Reconciliation Deadline: 31 October 2025. What Every Employer Needs to Know

The South African Revenue Service (SARS) has officially opened the Employer Interim Reconciliation submission period, running from 22 September to 31 October 20252. This is a critical compliance window for all employers — whether you’re managing a small team of under 50 staff or a large corporate payroll.

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📌 What Is the Interim Employer Reconciliation?

The interim reconciliation is essentially a mid-year check-in with SARS. Employers must reconcile:

Missing this deadline can have serious consequences, including penalties, audits, and even disruptions to your tax clearance status. Here’s what you need to know to stay compliant and avoid unnecessary headaches.

• PAYE, UIF, and SDL values declared on monthly EMP201 returns
• Against the IRP5/IT3(a) certificates and payroll records for the period 1 March 2025 – 31 August 2025

This ensures that SARS has accurate, up-to-date payroll data before the final annual reconciliation in May.

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🛠️ Key Changes for 2025

SARS has introduced several important updates this year:

• New Submission Channel: The e@syFile Thin Client is now the primary submission platform. The old “Flex” version has been phased out3.
• Updated BRS (v24.0.2): Employers must ensure payroll systems align with the latest Business Requirements Specification, which includes new source codes and validation rules.
• Income Tax Numbers Enforcement: From February 2026, reconciliations cannot be submitted without valid Income Tax numbers for all employees3. Employers should start verifying and registering these now.

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⚠️ Risks of Non-Compliance

Failure to submit a correct and complete EMP501 by 31 October 2025 can result in:

• Administrative penalties of up to 10% of annual PAYE liability
• Loss of Employment Tax Incentive (ETI) benefits
• Fines or imprisonment for serious non-compliance, such as failing to deduct PAYE or issue IRP5 certificates

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✅ How to Prepare and Submit

1. Update Payroll Systems: Ensure your software is aligned with the latest SARS BRS.
2. Verify Employee Tax Numbers: Use eFiling, e@syFile, or SARS service centres to confirm or register missing numbers.
3. Reconcile Early: Don’t wait until the last week — submit as soon as the filing season opens.
4. Use the Right Channel:
   • Employers with ≤50 employees: eFiling or e@syFile Thin Client
   • Employers with >50 employees: e@syFile Thin Client only3

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💡 Pro Tip for SMEs

If you’re a small business owner juggling multiple responsibilities, consider setting up a compliance calendar with automated reminders for EMP201, EMP501, VAT, and other deadlines. This not only keeps you compliant but also strengthens your credibility with clients and investors.

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🏁 Final Word

The interim reconciliation is not just a SARS requirement — it’s an opportunity to ensure your payroll records are accurate, your employees’ tax affairs are in order, and your business remains in good standing.

Deadline: 31 October 2025. Don’t leave it to the last minute.

For official updates and resources, visit the SARS Employer Interim Reconciliation page.