You started a company years ago with the best intentions. Maybe it never took off. Maybe life changed. Maybe Covid knocked the wind out of it. But here’s the hard truth: if you haven’t properly shut it down with both CIPC and SARS, it’s still very much alive-and silently racking up penalties.
At BizRev, we’re seeing more and more business owners caught off guard. They believed a dormant company could just… fade away. But SARS doesn’t forget. And their system isn’t waiting for you to catch up.
Dormant ≠ Dead
You might think, “But we haven’t traded in years!”
SARS sees it differently.
Even if your business hasn’t earned a cent since 2018, it’s still expected to submit returns-monthly. If you haven’t, you’re likely sitting on thousands of rands in admin penalties. We’ve seen dormant companies owing R50,000+ in fees alone.
It’s not just frustrating-it’s avoidable. But only if you follow the right process.
The Real Deregistration Checklist
Here’s what it actually takes to close your company legally:
- Check your company status on CIPC.
Is it “In Business”, “Voluntary Deregistration”, or already in “AR Final Deregistration”? That status dictates your next steps. - Appoint or update a Tax Representative with SARS.
No rep = no access = no progress. - File all outstanding returns-even zero ones.
Compliance is non-negotiable. You can’t deregister a non-compliant company. - Apply for penalty remission or settle what’s owed.
Yes, even if the business never traded. - Only then can you deregister-first with SARS, then CIPC (or vice versa, depending on the situation).
And if your company has been AR-final deregistered? You may need to reactivate it, file years of backlogs, and then try again. One step forward, five steps back.
Why This Matters More Than Ever
According to News24 Business, SARS recently intensified its compliance audits-especially targeting dormant entities, shelf companies, and non-trading firms as part of its tax recovery strategy. It’s no longer a question of if they’ll notice. It’s a matter of when.
You Don’t Have to Untangle This Alone
It’s complicated, yes-but it doesn’t have to be chaotic. We’ve helped dozens of founders close companies cleanly, recover from compliance disasters, and avoid unnecessary financial loss.
If you’re unsure where your company stands-or if you’re carrying the mental load of “that one old business”-let’s sort it out.
If you’re ready for clarity, structure, and support that actually scales-reach out to the BizRev team at www.bizrev.co.za or call +27 44 533 1224.