SIC Codes for SARS Tax Returns - ITR14 Guide for South African Companies

The SARS ITR14 company income tax return requires two industry classification fields: the "Source code of the main industry" (a 5-digit SIC 7 code) and the "Profit code of your main source of income" (a 4-digit SARS profit code). Getting these right is important for compliance and can affect your tax assessment.

The ITR14 Main Industry Code (SIC 7)

This is the 5-digit SIC code from the SIC 7th Edition. When filing through SARS eFiling, you select this from a drop-down list. The code should match your CIPC registration and accurately reflect your company's primary revenue-generating activity.

SARS maintains a list of 537 valid SIC codes on their website. These include the 521 official SIC 7 subclasses from Statistics South Africa plus additional codes that SARS uses for more granular classification. You can browse all these codes on our SIC Code Index.

The SARS Profit Code

In addition to the SIC code, the ITR14 asks for a 4-digit "profit code." This comes from SARS's own classification system, which predates SIC 7. The profit code system has 34 main activity categories (2-digit level) with detailed 4-digit sub-activities. These codes use an even/odd numbering system where even numbers indicate profits and adjacent odd numbers indicate losses in the same industry.

While the profit code and SIC code should refer to the same underlying business activity, they use different numbering systems. SARS provides a correspondence table to help you find the matching codes.

Common Errors on the ITR14

Using an old SIC 5 code: The ITR14 form has required SIC 7 codes since 2013. If you enter an old SIC 5 code, eFiling will reject it. Use our SIC 5 to SIC 7 Crosswalk to convert.

Mismatched SIC and Profit codes: If your SIC code indicates manufacturing but your profit code indicates retail, SARS may flag your return for review. Ensure both codes refer to the same primary activity.

Using code 3400 or similar placeholders: SARS data shows that a significant number of companies submit non-standard codes. These are typically treated as missing values and can trigger queries from SARS.

ETI and Your SIC Code

If you claim the Employment Tax Incentive, your SIC code on the EMP201 return must not be in the excluded list. The excluded codes are all in Division 84 (Public administration and defence) - specifically codes 84111 through 84302. All other SIC codes are eligible for ETI.

You can check ETI eligibility for any code on our site - each code page displays the ETI status with a clear Yes or No indicator.

VAT and Activity Codes

VAT-registered businesses also have an "Activity Code" assigned during VAT registration via the VAT101 form. This 4-digit code comes from the SARS Activity Code system, which is similar to (but not identical with) the Profit Code system. The VAT Activity Code is selected from the VAT/EMP 403 Trade Classification Guide published by SARS.

Unlike the ITR14 SIC code which can change annually, the VAT Activity Code is typically set at registration and rarely changes - it comes from the registration form, not from annual submissions.