Remittance of percentage-based penalties: section 213 TAA

Tax Break: South African tax for professionals · Oct 15, 2026 · 12m

Can a 10% late payment penalty be remitted, and on what grounds? This episode of Tax Break works through the percentage-based penalties imposed under section 213 of the Tax Administration Act (TAA) and the permutations for requesting remittance.

Pieter starts with what these penalties are and where they sit in Chapter 15 of the TAA, alongside fixed amount penalties. He traces the provisions in other tax Acts that give rise to them: section 39 of the VAT Act for late VAT payments, paragraph 6 of the Fourth Schedule to the Income Tax Act for late employees' tax and provisional tax, the deeming…