{"id":42175,"date":"2021-05-10T13:22:19","date_gmt":"2021-05-10T10:22:19","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=42175"},"modified":"2025-08-30T22:03:54","modified_gmt":"2025-08-30T19:03:54","slug":"opinion-sars-to-top-up-the-budget-through-crypto-traders","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/opinion-sars-to-top-up-the-budget-through-crypto-traders\/","title":{"rendered":"Opinion: SARS to top up the budget through crypto traders"},"content":{"rendered":"<p>The South African Revenue Service (SARS) is keen to increase budget receipts from holders of digital currencies. This view is held by Thomas Lobban, head of the cross-border taxation unit at Tax Consulting South Africa, according to <a href=\"https:\/\/businesstech.co.za\/news\/banking\/488741\/sars-is-coming-after-these-3-tax-streams\/#\" target=\"_blank\" rel=\"noreferrer noopener\">BusinessTech<\/a>.<\/p>\n<p>A source told the publication that SARS&#8217;s interest in crypto traders&#8217; income has grown, while most of them &#8220;do not realise that this activity gives rise to tax obligations.&#8221; As a result, crypto investors face an unexpected bill.<\/p>\n<p>In Lobban&#8217;s view, the agency could treat capital gains as profits from transactions involving digital assets. Transactions that move one cryptocurrency to another without converting into the local rand SARS would define as a &#8220;tax event,&#8221; the expert contends.<\/p>\n<p>He conceded that some operations may be interpreted as &#8220;income-generating.&#8221; For this reason, a South African resident will pay on them at his or her personal income tax rate.<\/p>\n<p>A representative of Tax Consulting South Africa also drew attention to an expansion of SARS&#8217;s IT capabilities, which will allow it to &#8220;analyse and identify crypto transactions more effectively.&#8221;<\/p>\n<p>Earlier, the South African authorities decided to tax profits from all cryptocurrency transactions.<\/p>\n<p>In April 2020, the Intergovernmental Working Group on FinTech proposed tightening regulation of digital assets. Later, the Financial Sector Conduct Authority (FSCA) <a href=\"https:\/\/u1f987.com\/en\/news\/south-africa-to-treat-cryptocurrencies-as-financial-products\">presented a draft regulation<\/a>, according to which Bitcoin and other cryptocurrencies are treated as financial products.<\/p>\n<p>FSCA <a href=\"https:\/\/u1f987.com\/en\/news\/cryptocurrencies-to-come-under-regulation-in-south-africa\">unveiled new industry-regulation proposals<\/a> in January 2021.<\/p>\n<p>In February 2021 SARS began sending taxpayers requests to disclose additional <a href=\"https:\/\/u1f987.com\/en\/news\/south-africas-tax-authority-begins-audits-of-cryptocurrency-investors\">information about crypto asset transactions<\/a>.<\/p>\n<p>Follow ForkLog news on <a href=\"https:\/\/twitter.com\/ForkLog\" target=\"_blank\" rel=\"nofollow noopener\">Twitter<\/a>!<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The South African Revenue Service (SARS) is looking to increase budget revenues from holders of digital currencies. This view is shared by Thomas Lobban, head of the cross-border taxation unit at Tax Consulting South Africa, according to BusinessTech.<\/p>\n","protected":false},"author":1,"featured_media":42176,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1839,558],"class_list":["post-42175","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-south-africa","tag-taxes"],"aioseo_notices":[],"amp_enabled":true,"views":"22","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/42175","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=42175"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/42175\/revisions"}],"predecessor-version":[{"id":42177,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/42175\/revisions\/42177"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/42176"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=42175"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=42175"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=42175"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}