Reduce Your SARS Debt with a Section 200 Compromise
Section 200 Compromises
Why Consider a Section 200 Compromise?
If you are unable to pay your tax debt and SARS collection efforts threaten your financial future, Section 200 of the Tax Administration Act allows SARS to write off a portion of your liability—legally. This is a lifeline for individuals and businesses under financial distress, enabling a once-off, reduced settlement to clear tax obligations.
Our Section 200 Services Include:
- Detailed financial viability analysis
- Drafting of SARS compromise applications
- Collation of supporting financial documentation
- Direct engagement and negotiation with SARS
- Monitoring until approval and implementation
- Post-compromise compliance strategy
Benefits of a Section 200 Compromise:
- Legal reduction in total tax owed
- Relief from garnishee orders or asset seizures
- Peace of mind and a path to financial rehabilitation
- Retain business continuity
Frequently Asked Questions
Q: Who qualifies for a Section 200 compromise?
A: Taxpayers who can prove they are unable to settle their tax debt in full—now or in the foreseeable future—and who comply with SARS’s conditions for compromise.
Q: Will SARS write off all my tax debt?
A: No. SARS typically negotiates a reduced once-off amount based on your affordability. The rest may be written off once conditions are met.
Q: Can this affect my credit or future compliance?
A: A successful compromise doesn’t negatively affect your credit but will require strict future compliance with SARS to remain valid.
Get In Touch
Ready to legally reduce your tax debt? Contact our SARS compromise team today for a confidential consultation.
