South Africa: Carbon tax licence renewal applications due before 30 November 2021

Application to renew carbon tax licences must be submitted before 30 November 2021

Application to renew carbon tax licences must be submitted before 30 November 2021

The application to renew carbon tax licences must be submitted to the South African Revenue Service (SARS) before 30 November 2021 to avoid penalties and/or interest with respect to late submissions. Any changes to company profiles must be registered with SARS before renewal applications are submitted.

The valid period for licences for registered customs and excise manufacturing warehouses is from the effective date of issuance until 31 December 2021, and thereafter 31 December of the following year. Under the Customs and Excise Act, No. 91 of 1964, all carbon tax licence holders are required to renew their carbon tax licence 30 days before expiry. Therefore, the application for renewal must be submitted to SARS before 30 November 2021.

KPMG observation

Large volumes of applications are expected to be submitted by taxpayers during November; accordingly, SARS is encouraging all carbon tax licence holders to apply for renewal sooner rather than later. If the application and approval process takes longer than three months, SARS will not require that companies resubmit their documents. 


The carbon tax is administered as an environmental levy on carbon emissions that requires every person operating emissions generation facilities at a combined capacity equal to or above the legislated carbon tax threshold to register with SARS and to obtain a consolidated licence for the combination of its emissions facilities that generate emissions liable to carbon tax. The emission facilities will be licensed as a “customs and excise manufacturing warehouse.”

Read an October 2021 report [PDF 221 KB] prepared by the KPMG member firm in South Africa


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