The South African Revenue Service (SARS) will implement new requirements for owners of foreign-registered vehicles.
This will also help tackle the growing problem of illegally imported vehicles, which are costing the country billions of rand and undermining the local automotive industry.
From 1 June 2026, the South African Revenue Service (SARS) requires all foreign-registered vehicles to be declared on its Traveller Management System (TMS) before entering or leaving the country.
Announcing the new requirement, SARS Commissioner Johnstone Makhubu said the measure brings South Africa in line with international customs practices.
It also forms part of the revenue service’s broader effort to modernise border operations, improve compliance, and strengthen security at ports of entry.
He added that the new process also supports South Africa’s financial transparency obligations and national security objectives by ensuring that goods, currency, and vehicles are properly declared and assessed before crossing the border.
Under the new system, foreign vehicles that are temporarily imported into South Africa may be issued temporary import permits valid for six months.
These permits can be used for multiple border crossings during that period without requiring motorists to reapply each time they enter the country.
According to SARS, frequent travel for work, study, business, medical care or other legitimate reasons will not affect the validity of the permit, provided it remains active and is renewed before expiry.
While SARS expects travellers to complete declarations online before arriving at the border to benefit from faster processing, officials will still be available at ports of entry to assist those unable to complete the process electronically.
Makhubu stressed that online declarations do not replace physical border controls and that all travellers will still be required to present themselves for customs verification and inspections where necessary.
“Compliance is not optional; vehicle owners who do not declare foreign-registered vehicles or who provide false or incomplete information expose themselves to enforcement consequences and prolonged processing at the border,” he said.
“I also wish to reaffirm that where vehicle owners comply with all the legal requirements, the process will be seamless; however, where compliance is low, this may lead to delays in border crossings.”
New system will help plug R8 billion leak to the fiscus
The stricter controls come as concerns continue to mount over South Africa’s growing “grey vehicle” market.
Grey vehicle imports refer to used vehicles that enter the country through unauthorised channels, bypassing official dealership networks and regulatory requirements.
According to Naamsa, these illegal imports cost the fiscus up to R8 billion annually through the evasion of import duties, VAT, and other taxes.
The figure has more than doubled from R3.8 billion in 2020, representing a 110% increase in just a few years.
The loss of revenue has significant consequences for the country, reducing funds available for infrastructure projects, education and other public services. Industry bodies have also raised concerns about the scale of the problem.
Last year, the National Automobile Dealers’ Association (NADA) estimated that around 50,000 illegal vehicles are added to South African roads annually despite regulations intended to limit their entry.
“Over the past five years alone, half a million vehicles bearing foreign registration plates have been recorded operating locally,” NADA said.
“These figures are particularly alarming given that the official vehicle parc in South Africa totals approximately 13 million vehicles.”
Based on those figures, nearly 4% of all vehicles on South African roads could be grey imports. Naamsa believes the number may be even higher, estimating that illegally imported second-hand vehicles account for roughly 7.5% of the country’s vehicle parc.
Beyond lost tax revenue, NADA warned that many grey imports fail to meet the same quality, safety and environmental standards required of vehicles sold through formal channels.
“They undermine the viability of the formal vehicle retail market, where dealerships comply with stringent quality, safety, and environmental standards,” the association said.
