SARS not coming after R10,000 cash withdrawals in South Africa

The South African Reserve Bank (SARB) has dismissed fake reports circulating on social media that large cash withdrawals in the country would be automatically flagged by SARS.

The claims emerged on social media this past week, saying that from 10 May 2025, cash withdrawals over R10,000 would automatically trigger scrutiny by SARS and the Financial Intelligence Centre (FIC).

The source of the claims were two articles published on foreign-based “news” platforms, each with slightly different numbers and information.

Both claimed that the rule would be implemented from 10 May 2025, but the amounts varied. One claimed that transactions over R10,000 would be flagged, and the other had the limit at R50,000.

Citing a “new directive”, the publications claimed that the rule was being put into effect as part of the Financial Action Task Force’s (FATF) measures to combat illicit financial flows in South Africa.

Given the tight deadline—three days away—with zero communication from the SARB, SARS, the FIC or South Africa’s banks about the move, the articles read as fake news.

The SARB confirmed to BusinessTech that the articles are a complete fabrication, and that no such rule had been announced.

“The article claiming that a new card withdrawal rule is due to come into effect on 10 May is fake,” it said.

“There is no such rule issued by the South African Reserve Bank; no new directive has been announced requiring automatic SARS reporting for large withdrawals.”

BusinessTech also received confirmation from South Africa’s big banks that no new withdrawal rules have been put in place, and no directives to that effect have been issued.

An Absa spokesperson said that the information is false and advised customers to ignore it.

“Customers are advised to ignore these reports and to rely on their bank’s official communication channels for formal notification of any key developments,” it said.

Other banks referred BusinessTech to the SARB’s communications on the matter.

The fake news stories come amid heightened scrutiny by the taxman and financial authorities in South Africa, as the government tries to plug a multi-billion rand revenue gap in the budget and get off the FATF grey list.

Stories about SARS’ reach find fertile ground in the minds of South Africans who are aware that the revenue service has extensive powers to keep tabs on their finances, and to collect what it is owed.

South Africans also know that it is a priority for the government to get off the greylist sooner rather than later.

However, the SARB urged South Africans to always verify financial news on official SARB or SARS channels.