Taxpayers countrywide are flocking to the South African Revenue Services (SARS) offices to submit their returns as the clock ticks down to tomorrow’s deadline. A short while ago, 1 million more people had submitted their tax returns compared to last year.

The influx follows a strong warning by the taxman that tomorrow's deadline will not be extended and those who fail to meet the deadline will face harsher penalties. South African taxpayers are notorious for submitting their tax returns at the last minute, and this year has been no different.

SARS spokesperson Adrian Lackay says although many people submitted during the first few weeks of the tax season, longer queues are experienced at most of SARS’ offices countrywide as people wait until the last minute to submit. But despite the increased turnout by individual taxpayers this year, overall income tax collection is still expected to decline by R70 billion this year. 

The revenue service expects company tax to shrink by R21 billion as a result of the recession and Value Added Tax, which is based on consumption, is expected to fall by a whopping R31 billion due to the continuing slump in consumer spending. 

New penalties range from R500 to R11 500 for individuals. Big companies, on the other hand, face being penalised up to R184 000 for submitting their tax returns late.