Medical Deductions section is confusing me!

  Written by Marc   Posted 20 August 2012

I've gone through the entire process and am filling in the e-filing form. I'm stuck on the Medical Deductions section. I've filled in what TaxTim suggested, but the e-filing calculator is ignoring the amount at code 4020.

The "Did you incur any medical expenditure?" is ticked "No". But if I change it to Yes then it expects that I have paid to a medical aid and wants a "0" if my "employer" paid the total.

My specific scenario is a little different. My wife pays the medical aid each month and claims that on her own tax return...

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Started freelancing, not paying provisional tax. Can TaxTim help?

  Written by Marc   Posted 20 August 2012

I have being earning some money on the side as a freelancer during this last tax year and I went fulltime freelancing in a personal capacity at the end of 2011.

Will TaxTim be able to guide me with the expenses I can claim as part of operating as a freelancer? SARS is very strict on when certain expenses can be claimed. They seem to only allow expenses when salary is earned on a commission basis.

Tax on performance bonus

  Written by Marc   Posted 20 August 2012

Every quarter, we receive a performance bonus. this is worked out as a percentage of monthly salary. so if i earn R10 000 and my percentage was 50%, then I would receive R5 000 on top of my salary.
There was a discrepancy last quarter where the %'s used to calculate the bonus were incorrect and
they went ahead and paid the incorrect amounts out.
e.g.
Monthly earning - R10000
% suppose to have been paid - 50%
% actually paid - 60%.
difference of 10% = R1000 paid extra to me....

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Who pays and how much tax will be due on gifts given to family? Will there be a donations tax?

  Written by Marc   Posted 20 August 2012

My dad has investments, can he give lump sums to his kids as gifts and who will pay tax and how much? He was told he is not allowed to gift more that R5000.00 a year.

What if I want to upload more documents on eFiling after I have already uploaded others?

  Written by Marc   Posted 13 August 2012

I have been selected to be audited on my tax return. SARS has asked for my supporting documents, I have uploaded my medical tax certificate but now that i want to upload my irp5 the e-filing site doesn't give me the option to upload again. Does this mean I have to go to my nearest SARS branch to submit supporting documents including my IRP5 and medical tax certificate?

EE, ER & SDL contributions missing from ITR12

  Written by Marc   Posted 10 August 2012

I'm looking at my IRP5 and I noticed that there are 2 amounts thats do not reflect on my ITR12. one is for EE & ER UIF contributions (4141) and the other is for Employer SDL Contribution (4142). Why is this and how can it be corrected?

What is the period allowed for disposal of a primary residence for capital gains tax?

  Written by Marc   Posted 8 August 2012

We are planning to move into another house and have not decided what to do with our current primary residence. If we move out, for how long is it still considered a primary residence, as it will take time to sell it? Also, what is the tax we would pay on any sale profits if sold as a primary residence or as capital gains? Am married in community of property.

Do I have to register as provisional taxpayer if I earn rental income?

  Written by Marc   Posted 8 August 2012

I pay PAYE as a salaried employee. I also have rental income. When doing e filing, do I also say I am a provisional taxpayer for the rental income, and have to register as that?

What is the difference between 2010 and 2011 medical aid system in terms of how you would account it

  Written by Marc   Posted 6 August 2012

What is the difference between 2010 and 2011 medical aid system in terms of how you would account it for the changes between the two financial years?

What forms are required to submit for filing my tax return?

  Written by Marc   Posted 4 August 2012

What form(s) do I need to fill in? and what if I don't have an irp5 certificate from my employee?

May I deduct contributions made to my father's medical aid?

  Written by Marc   Posted 4 August 2012

"This is a common problem here in South Africa, what to do if you pay for someone's medical aid. The practice is that you can claim this benefit, if asked for documentation from SARS you will obviously have to produce the records you have mentioned above."

Are there regulations / documented precedent that I can cite to support this? I am having difficulty in getting GEMS to understand my request for a tax certificate for another main member (my father) who's medical aid contributions ...

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I earned less than R120 000, can I still submit a tax return?

  Written by Marc   Posted 30 July 2012

Can I file a return? I have no deductions or supplementary income. If I submit the return will I stand to get any refunds? Can I also register for a tax number without going into a branch?

How much tax am I going to pay each month?

  Written by Marc   Posted 30 July 2012

Employee earns 10500 per month
Medical aid - 1630 ( member + 3 dependants )
Pension - 7.5 %
Pension Company - 9.5%
Uif - 1%

How much tax would employee be paying monthly, please insert the formula as well?

I started working in April this year, when do I have to start paying tax?

  Written by Marc   Posted 30 July 2012

What are the procedures that I should follow as a new income earner?

What is the small business/home business Income Tax threshold?

  Written by Marc   Posted 30 July 2012

I would like to start a small design business to supplement my income. What is the maximum per annum that is taxable? Many thanks.

I am a shop assistant and I have extra part time work, how does the tax work?

  Written by Marc   Posted 30 July 2012

First of all thank you for providing this helpful service.

I have been working as a shop assistant since February doing shift work. I earn approx R4200-R4800 pm. I am doing some extra work part time which will provide an additional income of a maximum R3000 pm. It is related to the shop but not strictly part of my normal shop duties. Does this mean I will have to pay tax on my earnings in total?

Thank you ;-)

My mom is a pensioner and is dependent on me - can I claim her medical expenses?

  Written by Marc   Posted 30 July 2012

My mom is a state pensioner and has been living with me for the past 21 years. She does not earn any other salary other than her state pension. Someone mentioned that I can claim back from tax, as I subsidise her income in order for her to be able to "live". She is also on my medical aid. Is this correct and how do you do this?

I have had 3 seperate employers in the last tax year, how does this affect my income tax return?

  Written by Marc   Posted 30 July 2012

I have had 3 seperate employers for the last tax year, and I have never submitted a tax return before, so I am in desperate need of help. I have been with my current employer since January this year and they issued me my IRP5. How do I include the other 2 employers in my return considering they constitute most of my income in the last tax year?

I tried submitting my return via efiling but they required additional documentation. And also, when I logged on again, my submission form automatically had information of my previous employers without me ever filling anything out. ...

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In order to deduct my home office expenses, do I need to be able to prove anything?

  Written by Marc   Posted 30 July 2012

I mostly work from home for my company. In order to qualify for the home office tax deductions, do I need proof that I work from home? If so what qualifies as proof ?

Can I claim medical expenses that I paid, but were for my mother?

  Written by Marc   Posted 30 July 2012

Last year my mother who is 62, and has retired on medical grounds, had to have open heart surgery which i had to pay for. Unfortunately she is not on my medical aid and i had to solely foot the bill of her surgery and all the other medication that she needed thereafter. Do i need to fill this in as part of my medical expenses when filling tax return for the year ended Feb 2012 as these are medical expenses that i incurred and i am the one who paid for this. I do have all the invoices of the expe...

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Why are there different levels of tax rebates?

  Written by Marc   Posted 30 July 2012

Why are there different levels of rebates, i.e, primary, secondary and tertiary, for natural persons? And what are the effects (on both individuals and companies) of the change from STC to dividends tax?

What is the section 11(n) (retirement annuity fund contributions) deduction?

  Written by Marc   Posted 30 July 2012

Do you think that the current section 11(n) (retirement annuity fund contributions) deductions are sufficient to encourage private saving?

Do you think that the section 10(1)(i) interest exemption should be increased each year?

  Written by Marc   Posted 30 July 2012

Do you think that the section 10(1)(i) interest exemption should be increased each year? Why or why not?

Is the decision to replace the medical deduction with medical tax credits more equitable?

  Written by Marc   Posted 30 July 2012

The current medical deduction system provides relief for individuals contributing towards medical schemes and out-of-pocket medical expenses. However it is inequitable in that it affords greater benefit to higher income taxpayers. Will the Finance Minister's decision to replace the current medical deduction allowances with medical tax credits be more equitable and fair to taxpayers across all income groups?

What are the proposed changes to the tax treatement of retirement fund contributions?

  Written by Marc   Posted 30 July 2012

What are the proposed changes to the treatement of retirement fund contributions announced in the 2012 budget? The maximum deduction limit of R250 000 a year for taxpayers under 45 years may seem significant but is it beneficial to all taxpayers?
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