← All guides
Guide

Tax Clearance for Tenders: What a Valid SARS Tax Compliance Status Means

Every government tender requires proof of tax compliance. SARS replaced the old paper Tax Clearance Certificate with the Tax Compliance Status (TCS) system some years ago, and a surprising number of bidders still submit outdated documentation, or a PIN that has since lapsed, without realising it.

PIN, not certificate

The current system issues a Tax Compliance Status PIN via SARS eFiling, which a procuring department verifies directly and electronically — you provide the PIN, not a printed certificate. A tender submission still referencing an old-format "tax clearance certificate" is usually still accepted with a valid PIN, but the PIN itself is what actually gets checked.

Why it lapses without warning

Your Tax Compliance Status can change from compliant to non-compliant automatically the moment any return is late or any amount is outstanding — including a small, disputed, or already-being-resolved amount. A business can be tax compliant on the day they check their status and non-compliant a week later through no new action of their own, which is why this is one of the more frequent last-minute disqualification causes on otherwise strong bids.

Check your own tender qualification