For an undisclosed sum, a private consortium led by Twofold Capital has purchased the South African digital tax assistant TaxTim.
Established in 2011, TaxTim is a SARS-integrated digital tax assistant that walks users through a methodical process by asking straightforward questions about their income and expenses before preparing and submitting their tax returns.
The startup has processed over ZAR700 million (US$40 million) in tax refunds annually, assisting hundreds of thousands of South Africans with their filings. Additionally, it provides tax education materials to assist South Africans in managing their tax responsibilities.
A group led by the private equity firm Twofold Capital and comprising the technology company Octoco, based in Stellenbosch, has now purchased TaxTim. The sum has not been revealed. The agreement offers a partial exit for co-founder Evan Robinson, who will stay on board and continue to oversee product strategy, as well as a successful exit for TaxTim’s non-operational shareholders.
“I’m excited to see how the business will grow with this new injection of energy, expertise and capital,” said Robinson.
“It’s an honour to continue our original mission — making tax easy and accessible for all South Africans. I’m confident that with the support of Twofold and Octoco, we can build on what we’ve started and take TaxTim to the next level.”
In a market where simplicity and trust are crucial, TaxTim has established a reputable brand, a devoted user base, and a history of resolving actual customer issues, according to Ed du Plessis, director of Twofold Capital.
“We see significant potential to enhance the core product and expand into adjacent services, which is why we’re especially excited to have the Octoco team on board. With advances in AI, there’s a real opportunity to make the tax experience even more personalised, automated and accessible,” he said.
