Last updated 5 September 2026
What SARS has announced
SARS has published information on two separate developments. The first is the modernisation of the Diesel Refund System, including a new registration system that SARS has indicated will open later than first communicated. The second is an adjustment affecting onland claimants in farming, forestry and mining.
In its 13 February 2026 notice, SARS stated that, effective from 1 April 2026, primary sector claimants operating onland would be entitled to claim a refund on 100% of eligible diesel used in qualifying activities, with the change reflected from the return in which the April 2026 period is submitted.
The wording published by SARS should be read in full before any claim position is changed. Dates and mechanics have already shifted once, so confirm the current position with SARS or your advisor before relying on it.
What does not change
An adjustment to the eligible percentage does not change the underlying evidence test. Only diesel that can be shown to have been purchased, delivered, stored, dispensed and consumed in a qualifying activity can be supported.
If anything, a higher entitlement raises the value of each claimed litre and therefore the level of scrutiny a claim can attract during verification.
- Activity-based eligibility still applies
- Registration and business-unit detail still has to be correct
- Logbooks, dispensing records and reconciliations are still the deciding evidence
- Non-qualifying and unreconciled litres still have to be excluded
How to prepare for a modernised registration system
A system migration is the point at which inaccurate registered details, stale contact information and unclear business-unit structures surface. Reviewing those details ahead of time is low-cost preparation.
- Confirm registered entity, sites and business units are current
- Check that the responsible contact on the SARS profile still works there
- Make sure historic claim workings can be reproduced if queried
- Keep monthly reconciliations current rather than rebuilding at year end
- Document how qualifying and non-qualifying usage is classified
What we suggest doing now
Treat 2026 as a records year. Businesses whose fuel data already reconciles monthly will absorb the change quietly; businesses relying on estimates will feel it.
Information provided on this website is general information only and does not constitute tax, legal or financial advice. Diesel refund eligibility is subject to applicable legislation, SARS requirements, qualifying activities and supporting documentation. Refund rates may change from time to time. No refund is guaranteed.