TaxTim, one of South Africa’s earliest fintech players focused on simplifying tax returns, has been acquired for an undisclosed sum by a private consortium led by investment firm Twofold Capital.
The deal provides a successful exit for the company’s non-operational shareholders and a partial exit for cofounder Evan Robinson. He will remain with the company as Head of Product to guide its next phase of development.
The consortium includes Stellenbosch-based technology group Octoco, which will provide the technical expertise to overhaul the platform. The new ownership plans to enhance TaxTim’s core services and expand its product suite, with a particular focus on leveraging artificial intelligence.
“TaxTim has built a trusted brand, a loyal user base, and a track record of solving real customer problems,” said Ed du Plessis, a director at 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.”
A long-term player gets new backing
Founded in 2011, TaxTim was created to help South Africans navigate the often complex and jargon-filled process of filing with the South African Revenue Service (SARS). The platform uses a conversational, step-by-step process to guide users through their tax returns, integrating directly with the SARS eFiling system.
To date, the company says it has helped hundreds of thousands of users and processed over R700m ($38m) in tax refunds. Its credibility within the market is underscored by long-standing partnerships with major financial institutions, including Momentum, FNB, Sanlam, Old Mutual, and, most recently, Capitec Bank.
The acquisition marks a new chapter for the veteran startup, which has been supported by a number of notable local and international investors over its journey.
“I’m excited to see how the business will grow with this new injection of energy, expertise, and capital,” said Evan Robinson, technical cofounder and now Head of Product. “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.”
An early ecosystem success story
The deal provides an exit for some of the earliest backers in the South African tech ecosystem.
TaxTim was one of the first four startups accepted into Google’s now-defunct Umbono incubator in Johannesburg back in 2011. The programme was designed to provide seed funding and mentorship to high-growth tech startups with global potential.
The company also received backing from local accelerator Grindstone and the fintech investment and incubation hub ALPHACODE. The acquisition by Twofold Capital, a firm that combines long-term capital with operational support, signals a shift from venture-backed growth to a new stage of strategic expansion.