8 April 2020 at 10:12
My company was registered in April 2019 with a year end in July 2019. I submitted a provisional tax return in August 2019. When is the Company Income Tax tax return due? I have checked my tax compliance and it says that my 1901 tax submission is not compliant but my understanding is that my company wasn't registered then. So, should I submit a zero provisional tax return for 1901?
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8 April 2020 at 11:07
Companies should submit their income tax return within 12 months from year end. Therefore, the company, with a July year end, must submit the 2019 income tax return before 31 July 2020. The 2019/01 provisional tax return falls part of the 2019 tax return, therefore I suggest you submit the tax return yes even if it is a nil tax return. Lastly, please note that if it is a nil tax return, normally, there should not be a penalty.
Currently, SARS are raising admin penalties on outstanding income tax returns. Have not seen that they have raised an admin penalty on an outstanding provisional tax return, only penalty on late payment.
If SARS raise a penalty, a request for waiver can be done.