Income Tax information

  • 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.…

  • 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…

  • 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.

  • Tax

    Tax directive

    A tax directive can be obtained by employees that receives commission income. This directive will then instruct the employer to deduct tax at a fixed rate, which is usually 18%. If you would like us to assist with applying for a tax directive, please complete the form below and we will send you more information. Read more.. Please note The cost to apply for a tax directive is R300. The turnaround time is 2 to 3 days. However, this can take longer if the taxpayer’s contact details are not up to date at SARS.

  • CIPC,  Tax

    eFiling and new company registration

    SARS has recently changed the way in which newly registered companies are registered on eFiling. Once you have done a company registration, CIPC automatically notifies SARS, who then issues the company with an income tax number. Appointing a public officer after a company registration Before a company can be registered on eFiling, one of the directors has to be appointed as the public officer at SARS. This means that they will verify the contact details, and link the business tax profile to the personal tax profile of the public officer. After this process is done, the company can register on eFiling using a one time pin(OTP) which is sent to…

  • tax compliance
    PAYE,  Tax

    Registered a company, whats next?

    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…

  • Tax

    Does your company have outstanding tax returns?

    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.

  • emp501

    Provisional Tax – 202102

    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.