• SARS,  Tax

    Tax season 2022 has started

    SARS has started from 14 June 2022 with the auto assessments of some individuals. In the the case where SARS has done an auto assessment, the taxpayer will be notified via sms. This is why it is so important to update your contact details at SARS. This will ensure that you never miss a notification regarding your tax. Contact us for more details.

  • SARS,  Tax

    SARS – Contact details update

    As we approach filing season, which starts on 1 July 2022, it is important to ensure that you have updated your contact details at SARS. It is also important to make sure that SARS has your correct banking details. This will ensure that if a refund is due, it is paid into the correct account. Creating a new tax profile, or transferring a tax profile, can only be done if the taxpayer’s details are up to date. Contact details, i.e. eFiling security details, can only be changed at a SARS branch or doing a telephonic appointment. Contact us for assistance with updating your contact details now. And make sure you…

  • SARS,  Tax

    Transferring of tax types on eFiling

    SARS has changed the way the transferring of tax types on eFiling works. Previously, the tax type had to be requested, and then after 5 business days, the taxpayer received an override code. This has now changed. Taxpayers do not have to wait anymore. eFiling now gives taxpayers the option to immediately transfer the tax type using a one time pin. It is very important to note, that the contact details of the taxpayer has to be up to date at SARS. This is because the one time pin is sent via sms or email. In the case of a company, a public officer has to be assigned by SARS.…

  • PAYE,  SARS

    PAYE recon – 202202

    The deadline to submit your PAYE recon, aslso known as the EMP501 is 31 May 2022. What is a PAYE recon? This is the process where the amount of PAYE deducted monthly and paid over to SARS is reconciled. This is to ensure that all the amounts deducted from employees is paid over to SARS. During this process, when the EMP501 is submitted, IRP5 certificates have to be issued for every employee. These certificates then have to be issued to every employee. What information does the IRP5 certificate need to contain? The certificate needs to contain all income the employee has received. This includes the salary, all other benefits and…

  • SARS,  Tax

    SARS turnaround times delays

    Since January 2022, SARS have been problems with keeping up with their turnaround times. How does this impact you? The result of this is that everything takes longer to be finalized. This includes VAT audits, income tax audits, appointment of public officers, disputes etc. Remedial action Unfortunately, there are a lot of processes to follow when SARS fails to stick to their turnaround times. The first step is to escalate the case number. After this, you need to wait again for SARS to act. The next step is to lodge a complaint with the SARS complaints department. Only after all of these processes have been completed, can a complaint be…

  • COIDA

    Workmens compensation

    What is workmens compensation? In layman’s terms, workmens compensation, also known as COIDA, is an insurance policy. The policy is in place to protect employers in the event where an employee is injured on duty. Registration The company has to be registered at the department of labour. COIDA returns and tariffs Every company needs to submit a return every year in May. The tariffs are set annually by the department of labour. The amount payable is then calculated according to the salaries paid by the company. Letter of good standing Only once the return has been submitted and the payment made, will the department of labour issue a letter of…

  • company registration,  SARS

    Public officer appointment with new companies

    When you have registered a new company, a public officer has to be appointed at SARS. This needs to be done before the tax profile of the company can be added on eFiling. This is the case with private companies and non profit companies. The public officer will be the director of the company. In the event where there is more than 1 director, only one director will be appointed as the public officer. Documents required The following documentation is required to appoint a public officer: ID copy. When it is an ID card, copies of both the front and back is required. Proof of banking details for the company.…

  • Financial statements

    Why you need to do annual financial statements.

    You need to do annual financial statements for your company every year. This include private companies, close corporations, sole proprietors, non profit companies and partnerships. When to do financial statements. The financial statements have to be compiled after the financial year end of the company. The statements will include transactions for a period of 12 months. Except for the year in which the company was started, then it will only include for the number of months leading up to the first financial year end. The majority of companies have February as a financial year end, but any month can be chosen when the company is registered. This option is not…

  • VAT

    How do I register for VAT

    What is VAT? VAT is an additional tax that you pay on certain products you buy. The current VAT rate is currently set at 15% SARS. VAT is only payable when purchasing from businesses who are registered for VAT by SARS. When should my business register? It is compulsory for all businesses to register at SARS for VAT, if the company’s sales exceeded R1m for 12 consecutive months. This includes all business types, private companies, close corporations and sole proprietors. It is the responsibility of the company to apply for a VAT number within 21 days. It is also possible to do a voluntary VAT registration. This can be done…

  • PAYE,  Tax

    Why do I have to pay income tax at year end if I have more than one income?

    I get asked this question quite a lot. If you have more than one income stream during a financial year, the chances are very good that you will need to pay in on your annual income tax return. Income tax returns SARS has written a practice note which explains this very good, and one of the best practice notes they have written. Please see the SARS website to read this note. This will give you more insight on how PAYE is calculated, and how it is influenced when a taxpayer have more than one income. Contact us for more info.