Do You Need VAT Registration?
VAT registration is mandatory in South Africa once your business's taxable turnover exceeds R1 million in any 12-month period. You can also voluntarily register for VAT if your turnover exceeds R50,000 — which allows you to claim back VAT on business expenses.
Mandatory vs Voluntary VAT Registration
- Mandatory — turnover exceeds R1 million in 12 months
- Voluntary — turnover between R50,000 and R1 million
- Voluntary registration lets you claim input VAT on purchases
- Adds credibility — clients know you are a serious business
- Required for most corporate and government supply chains
What We Do For You
- Complete and submit VAT101 form to SARS
- Set up your eFiling VAT vendor profile
- Advise on VAT return submission periods
- Advise on input vs output VAT basics
- Follow up with SARS until VAT number is issued
Frequently Asked Questions
How long does VAT registration take in South Africa? +
SARS typically issues a VAT number within 5–10 business days of a complete application. COMPREGSA submits your application immediately and follows up with SARS on your behalf.
Can a new company register for VAT? +
Yes — a newly registered company can apply for voluntary VAT registration if it has a reasonable expectation of making taxable supplies exceeding R50,000 in the next 12 months.
What happens if I don't register for VAT when required? +
SARS can impose penalties and interest for failing to register for VAT when your turnover exceeds R1 million. It is a legal requirement and COMPREGSA can help you register quickly to avoid penalties.