CRS News Flash 20 March 2026 – SOUTH AFRICA – New SARS PAYE BRS published

MARCH 2026 – SOUTH AFRICA
SARS PAYE BRS VERSION 25.1.0
It is important that employers note the following:

New SARS PAYE BRS published for the 2026/2027 year of assessment
SARS (South African Revenue Service) regularly updates the requirements for the generation of the PAYE (Pay As You Earn) import tax file used for interim and annual submissions. Version 25.1.0 of the SARS PAYE BRS (Business Requirement Specification) was published on 16 March 2026.

The PAYE Employer Reconciliation BRS for 2026/2027 has been updated with the following changes:

• Updates from the 2026 budget speech relating to long service awards and compensation in respect of death during employment.
• A new source code for travel reimbursements relating to the previous tax year.

The requirements outlined in this version of the BRS are effective from 1 March 2026 for payroll suppliers and will be implemented on SARS systems in September 2026. Employers should check their payroll information to make sure all employee details are correct and up to date before the upcoming submission season.

Overview of changes:

New source codes:

1. Deduction/Contribution codes:
   • 4590 (total amount reimbursed to the employee for kilometres travelled in the previous tax year)

Validation changes:

1. Tax certificate information – employee information:
   • 3040 (first two names of the employee)
2. Normal income codes:
   • 3622/3672 (long service cash award):
     • (Excl. if YoA <= 2026 and 3622+3835 <= R 5000) (PAYE if YoA <=2026 and 3622+3835 > R 5000)
     • (Excl. if YoA >= 2027 and 3622+3835 <= R 16000) (PAYE if YoA >= 2027 and 3622+3835 > R 16000)
3. Employee remuneration information:
   • 3696 (the sum of all income amounts indicated as non-taxable)
   • 3698 (the sum of all non-retirement funding income)
   • 3699 (the sum of all amounts for all income source codes NOT included in 3696)
   • 3835 (long service award):
     • (Excl. if YoA <= 2026 and 3622+3835 <= R 5000) (PAYE if YoA <=2026 and 3622+3835 > R 5000)
     • (Excl. if YoA >= 2027 and 3622+3835 <= R 16000) (PAYE if YoA >= 2027 and 3622+3835 > R 16000)
   • 4118 (the sum of the calculated ETI amounts for the employee during the year of assessment)
4. Lump sum codes:
   • 3922 (compensation in respect of death during employment):
     • (Excl. if 3922 <= R 300 000 and YoA <=2026 PAYE if 3922 > R 300 000 and YoA <= 2026)
     • (Excl. if 3922 <= R 800 000 and YoA >=2027 PAYE if 3922 > R 800 000 and YoA >= 2027)

To view the details in the new SARS PAYE BRS, follow the link.