Notice to Employers – Changes to PAYE Admin Penalty Dispute Process

SARS have recently released a communication to employers detailing changes to the PAYE Admin Penalty dispute process. These process changes are coming into play effective 23 April 2022.

In 2021, SARS implemented hefty administrative penalties for late or non-submission of the EMP501 Employer Reconciliation Declarations.

If an employer wanted to dispute these administrative penalties, they were required to use the manual ADR1 for objections and the ADR2 for appeals. Up to now the electronic dispute process wasn’t available on eFiling in respect of late payment and administrative penalties levied.

Effective 23 April 2022, SARS is allowing taxpayers to request remission and to dispute their PAYE administrative and late payment penalties using the existing dispute process on eFiling.

SARS will effective 23 April 2022 not accept manually filed PAYE disputes and remission requests.

Access the official notice here.