Tax and SARS knowledge base

How do I complete an ITR12 assets and liabilities statement?

Last reviewed: 28 August 2026

Direct answer

Complete an assets and liabilities statement from a dated schedule, not from memory. First check the current ITR12 to see whether the statement is presented and what it asks for. Then assemble support for each category of asset and liability, use a consistent basis for the requested date, and reconcile the information with the business records where the taxpayer runs a sole-proprietor trade.

The SARS ITR12 guide contains assets and liabilities statement guidance, but return questions and validation can change. Do not copy a prior-year layout or assume that a business balance sheet is the same as the individual disclosure.

What this means in practice

Start with the date required by the return. Make a schedule of the taxpayer’s assets and liabilities at that date. Use headings that can be mapped to the current ITR12, such as immovable property, vehicles, investments, bank balances, loans, credit facilities, business assets and other relevant categories. The point is a complete and supportable snapshot, not a rough estimate of net worth.

Use source documents. For bank balances use statements. For loans use lender statements and agreements. For business assets use the asset register and accounts, then consider how the current ITR12 disclosure requests the information. For property, investments and vehicles, keep the documents and a short note explaining the value basis used. Do not present a professional valuation as though it exists if it does not.

Liabilities matter just as much as assets. Record mortgage balances, vehicle finance, overdrafts, credit cards, business loans, personal loans and other amounts outstanding where they are relevant to the requested disclosure. Do not offset a loan against an asset unless the return specifically calls for net reporting. A balance may belong to another person, a company or a partnership, so check legal ownership and the taxpayer’s actual obligation.

For a sole proprietor, the trade is not a separate legal entity from the owner. The business accounts are therefore useful evidence, but they may not contain all personal assets and liabilities. Conversely, a personal schedule may include items that are not part of the trade accounts. Prepare both views and reconcile the material differences so the ITR12 can be completed consistently.

Step-by-step

Open the current ITR12 first.

Read the assets and liabilities questions and notes before deciding what records to collect. Do not rely solely on an old return.

Set the reporting date.

Mark the exact date and use it consistently. Avoid mixing a current bank balance with a prior-year loan balance.

Create a category schedule.

List each asset and liability, owner, description, value used, document reference and any relevant business-account reference.

Attach evidence.

Save statements, agreements, asset-register extracts, ownership documents and supporting calculations. Record assumptions separately.

Reconcile business information.

Compare trade assets, creditors and loans with the business ledger. Explain material differences rather than forcing the figures to match.

Retain the return file.

Keep the schedule, source documents, submitted return and assessment. SARS says supporting documents should be retained for at least five years.

Documents and records to keep

Bank, investment, loan and credit-card statements for the relevant date.
Property, vehicle and asset ownership documents.
Business asset register, ledger and financial records.
Loan agreements, mortgage statements and finance schedules.
A dated disclosure schedule with document references and value basis notes.

Important limits and exceptions

This guide does not determine values, ownership percentages or whether a particular ITR12 statement is required. Trust assets, company shares, jointly owned property, foreign assets, partnership interests, contingent liabilities and assets subject to dispute can require separate analysis. Do not guess a value merely to complete a field, and do not omit an item because supporting documents are inconvenient to obtain.

Use the current return’s instructions. If figures conflict with a previous return, financial statements or an application made to SARS, document the reason for the difference. Correctness and consistency matter more than making the schedule look like an accounting balance sheet.

When to get tailored advice

Seek advice for foreign assets, trusts, companies, joint ownership, high-value property, disputed liabilities or material differences between the personal schedule and business records. TaxProof can organise the documentation and reconciliation for review.