Cryptocurrencies are not new, but recent developments, including the massive gains they experienced since last year, have placed them under the spotlight. South Africans’ notable interest in them, and SARS’ renewed focus on the wealthy’s undeclared assets, together with its improved capabilities to track taxpayers’ transactions, suggest SARS is intentional about tracking these activities and assets. It is not surprising then that SARS has turned its attention to cryptocurrencies, causing a stir by requesting taxpayers with returns selected for verification to also declare their cryptocurrency holdings and to provide supporting documentation. Read on for some thoughts on what SARS will expect from you if you have made any transactions related to any cryptocurrency, and the penalties it can impose for non-compliance.