The South African Revenue Service (Sars) has announced that over R35b has been withdrawn from savings pots since September, as the festive season approaches.

Sars originally estimated the withdrawals at R49.5b, but later issued a statement providing a new figure.

As of November 18, 2024, Sars received 2,153,942 directive applications and issued 1,914,306 directives, totalling R35.052b.

The tax agency attributes the surge in withdrawals to economic challenges faced by households.

Sars clarified that the difference between applications received and directives issued is due to:

• 169,509 declined applications (systems failures, incorrect identification numbers, etc.)
• 41,523 declined directives (insufficient funds, incorrect codes, etc.)
• 28,525 cancelled directives (taxpayers changing their minds)

Absa’s forecast of up to R78b in two-pot withdrawals within the first year appears likely. Other banks estimate more conservative figures, ranging from R30 billion to R40b.

Sars said it is pleased to announce that its simulated WhatsApp calculator was used 53 693 times since the implementation of the process, in line with the tax agency’s intent for taxpayers to use digital channels.

“The simulated calculator on the Sars website, which forms part of the Sars Online Query System, has been used 850 375 times. Sars has also received 102 839 queries through the voice channel, and 17 627 at branches. The USSD channel received a further 66 048,” it added.