It is important that the parties to a transfer of immovable property ensure (ahead of time) that their mandatory tax returns have been filed with SARS and that their information with SARS and submissions are up to date.
In terms of Section 99 of the Income Tax Act, SARS may direct the conveyancing firm attending to the transfer to act as an agent of SARS in the collection of amounts owing and payable by the seller to SARS.
SARS can effectively lay claim to the proceeds of sale and instruct the conveyancer attending to the transfer to pay same over on registration of transfer.
If you would like to discuss this, or any other legal matters, contact Bothas Incorporated on 035 792 0211.