The Public Servants Association (PSA) said the likelihood that a strike at the SA Revenue Service (Sars) could be averted was high following two days of "informal discussions" which could see a deal struck after a meeting on Tuesday night.

PSA spokesperson Tahir Maepa said leaders of the two major unions, PSA and Nehawu, met with acting Sars commissioner Mark Kingon and his team on Tuesday morning and while no deal has been formally struck, the union would not be opposed to agreeing to a proposed settlement by the Commission for Conciliation, Mediation and Arbitration (CCMA).

The unions are demanding an 11.4 percent increase, while Sars revised its offer to seven percent. The CCMA proposal is an eight percent increase across the board, an agreement on prenatal leave, performance bonuses for those who qualify and that the wage hike be part of a single year agreement.

"If that CCMA proposed settlement agreement is tabled, the likelihood is that we are going to find a solution," said Maepa.

He said a formal meeting in the bargaining forum was expected to take place at 6pm on Tuesday.

PSA last week served Sars with a strike notice, which meant workers would have downed tools on Thursday.

Sars said it would only comment after negotiations have concluded.