Deloitte, Refuel team up to unlock Sars diesel rebates

Deloitte Africa and technology-led energy company Refuel have announced a partnership tipped to help businesses successfully claim their diesel rebates through the South African Revenue Service (Sars) diesel refund system.

The collaboration is set to provide what’s been labelled as a practical ‘tech plus tax’ bridge for companies in the mining, agriculture, forestry and fisheries industries, amongst others.

The move was confirmed in a statement on Tuesday.

Historically, diesel rebates (which can amount to R3.82 or more per litre) have been a vital source of working capital for heavy-industry players.

“Many businesses continue to rely on manual logbooks and fragmented reporting. This means claims are rejected because they don’t have the correct data. In the process, companies risk being charged penalties for non-compliance,” the two firms said.

According to Deloitte and Refuel, fuel management technology and Sars tax expertise have operated in silos, and efforts to bring them together through the Deloitte Africa and Refuel collaboration are underway. This will ensure that operational fuel data is captured in the exact format the tax team needs to substantiate claims.

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Read: Diesel rebate reforms: Treasury removes 80% cap

“Intended to streamline validations and improve transparency, the move provides an opportunity for businesses to digitise their systems and move away from manual logbooks. They stand to get their claims paid out faster if they provide data Sars can trust,” adds Refuel CEO, Ricky Luntz.

“As the industry moves toward the full rollout of the digital Sars system, the Deloitte Africa and Refuel alliance provides a necessary bridge between onsite technology and tax compliance.”

Tracking function alongside fuel

Deloitte Africa’s software, DESMAT, enables the management of compliance information, such as contracting and mining rights, while Refuel’s fuel management data is integrated into calculated claims.

The alliance also addresses the ‘activity gap’ in fuel reporting.

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Standard systems typically track fuel only at the point of pour, but Refuel’s proprietary hardware and software track fuel levels and run hours for each activity session.

This allows businesses to distinguish between fuel used for primary rebate-eligible activities and diesel used in non-eligible tasks. The data is then integrated into Deloitte Africa’s platform to produce substantiated claims that meet the new reporting structures.

Read: Diesel reprieve short-lived as prices increase by more than R1/l in August

“Improved data integrity and real-time processing not only reduce exposure to errors and penalties, but also enhance audit readiness, demonstrating how technology is central to modern tax compliance,” said Olebogeng Ramatlhodi, Deloitte Africa’s indirect tax leader.

Beyond tax compliance, Deloitte and Refuel add that the system provides a high-level security check across the fuel ecosystem, helping mitigate the risks of fuel theft and wastage.

Read/ listen/ watch: Why hiding from Sars will sink your small business

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