04/09/2026
A dormant trust may be inactive — but that doesn’t mean it is off SARS’ radar.
Even where a trust has no income, assets or transactions, annual tax return obligations may still apply. And with SARS increasing its focus on trust compliance, outstanding returns could lead to administrative penalties that continue to accumulate.
Thinking of winding up an old or inactive trust? Remember: winding up a trust and deregistering it with SARS are not the same thing.
The important question is not simply whether your trust is active.
Is your trust compliant?
If you are a trustee and are uncertain about the status of a dormant or inactive trust, speak to our team for guidance.
Trustees EstatePlanning LegalAdvice SouthAfrica
