What is it?

SARS has introduced a new remittance advice, or payment advice notice, for the following taxes as of 24 May 2014:
  • Income Tax
  • Value-Added Tax  (VAT)
  • Pay-As-You-Earn (PAYE)
  • Penalties for Income Tax, VAT, PAYE
  • Dividends Tax
  • Provisional Tax.
The new Payment Advice Notice (PAN) will display the 19 digit SARS payment reference number which will facilitate the allocation of the payment to the correct client/taxpayer  account, thus reducing the risk of possible errors being made by either clients or banking staff when making payments.

 
 

How does it work?

For clients who use eFiling, you may continue to pay via eFiling and no PAN is required as the payment will inherit the correct reference.

Should you wish to pay over the counter at a bank or via an electronic bank transfer, once you have decided which item you wish to pay, you have two ways to get a PAN:
  • individuals will be able to get the PAN using the “General Unpaid” function
  • tax practitioners and employers/organisations will be able to use the “General Unpaid” function or the new “Payment advice notice” function under the “Payments” section.
Clients should follow the existing process when making payment.  If the client doesn’t want to proceed with the payment, then he/she can cancel the payment before confirming it.  This will result in the transaction being saved under “General Unpaid” where the client can then go to print the PAN to use at the bank.
When selecting an item from “General Unpaid”, the item to be paid will be printed on the PAN. Tax practitioners and employers / organisations also have the option (under “Payment Advice Notice”) to select multiple items that will be printed on the PAN as line items and a total will be printed on the bottom section of the PAN.
If you are going to pay cash, you don’t need to complete your banking details on the PAN. However, if you will be making a cheque payment or a bank internet transfer, you will have to capture the banking details from which this payment will be made.

 

The remaining fields will be pre-populated. For security reasons, once the banking details have been entered, only the last four digits will be visible when printing the page.
Please take note that for individuals, you will have to generate separate PANs if you want to make payments for different taxes at the same time. You will then submit the PAN together with the bank documentation when making a payment at the bank.