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Company tax debt does not automatically become the personal debt of a director. We explain when SARS may pursue personal liability, including negligence or fraud, PAYE not paid over, asset transfers, inter-company loans and circumstances involving abuse of the corporate structure.

A company can be liquidated even if it owes SARS money. Find out what happens to outstanding tax debt and returns, and when liquidation may be the appropriate solution.

f your company cannot pay SARS, the right solution depends on whether the problem is temporary or the business has become insolvent. Understand the options available before the debt becomes more difficult to resolve.

Understanding the tax implications during sequestration in South Africa is an important part of the insolvency process. Sequestration affects more than your assets and debts — it also changes how the South African Revenue Service (SARS) administers your tax affairs. This includes your tax status, outstanding tax debt, income tax and, in certain circumstances, Capital Gains Tax (CGT). Here is what you need to know.