How to Calculate: Property Income tax?

Posted 15 February 2013 under Tax Q&A

Let TaxTim
help you
submit your
Tax returns!

TaxTim will help you:

Do Your Tax Return Easily

Avoid penalties

Maximise your refund

Tim uses your answers to complete your income tax return instantly and professionally, with everything filled in in the right place.

Let Tim submit your tax return direct to SARS in just a few clicks!

Get started

Ask TaxTim

Got a question you want answered about tax?

Visit our helpdesk →

I want to know how to calculate the amount of tax that I need to pay SARS if I am renting out my property.
* I have a bond on the place that need to be paid back to a bank.
* Paying more on the bond than receiving rent.
* Paying levies on the place.
* Paying Property tax.
* Paying maintanace on the property.

How can I calculate what to pay SARS for the property income?

This entry was posted in Tax Q&A and tagged Deductions, Rental Income, Dividends, Penalties. Bookmark the permalink.

TaxTim says:
17 February 2013 at 16:01

You would compile a spreadsheet of all the income earned from renting the place out and then include all related expenses.

1. Only the interest on the bond would be allowed as a deduction against this income.
2. Levies, rates and all maintenance would be allowed as a deduction.
3. Any other related expenses on the property would be allowed as a deduction.

Then calculate whether you are making a profit or a loss and include that in your income tax return under the "local business" section.

How to Calculate: Property Income tax?

Blog Categories

Ask TaxTim

Blog Categories