A lot of people are currently starting companies at the moment due to job losses and seeking alternative income. Unfortunately, these business owners are never advised on what steps to take next i.t.o staying compliant at SARS and other state institutions. Below is a bit of a break down of what needs to be done and which returns need to be submitted. Bank account The first thing you should do is open a bank account for the business. Without one, you will not be able to register for any tax types, or register on the central supplier database. Tax returns The company will be liable for tax from the day…
Everyone always talks about annual returns from CIPC, but not many business owners know what it entails. Who needs to submit? All private companies, close corporations, personal liability companies and non profit companies. The annual return has to be submitted in the anniversary month of the company. If the company was registered in May, the annual return will also be due in may. Details required The main details required by CIPC are the annual turnover of the company. The details must also be completed for the person/s responsible for keeping the financial records of the company. Contact us for more detail
If you have not submitted your company’s tax returns in terms of tax, PAYE or VAT, contact us today. SARS has intensified their collection process, and is currently busy raising admin penalties for any outstanding returns. These admin penalties are up to R250 per month for every returns that has not been submitted. This can lead to a substantial amount that has to be paid to SARS. Business owners must also remember that they have to continue submitting returns as long as the company is registered, even if it is not trading.
Please note that all private companies and close corporations have to submit provisional tax before 28 February 2021. The provisional tax return covers the period from 1 March 2020 to 28 February 2021. Failure to submit or under declaring your income can lead to admin penalties being raised. All companies and close corporations have to submit returns, even if the company has not traded for the financial year under scrutiny. Contact us today to ensure that your return is submitted on time.