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I need assistance regarding provisional tax



I am a full time salaried employee who earns a monthly salary from my employer which is taxed. However I also do 'contractual' work for the same employer that is not taxed like my salary is. I started receiving this additional income from September 2014 - February 2015 and in total I would've received R22,000 income that has not been taxed by the end of Feb. I want to know if I need to register for provisional tax? How much would I be looking at paying? I do have expenses that I would like to include that I used to do the contractual work, example of internet, petrol, cellphone bill and rental for the room I use. Any advice would be greatly appreciated

TaxTim TaxTim says:
19 February 2015 at 10:08

How are you performing contractual work for this company if they employee you normally? Could you provide more details please.

Theresa says:
19 February 2015 at 10:14

I work for them full time going other work. However I am a therapist who has joined their affiliate network, I do counselling for the clients they refer to me. I am on a monthly retainer and anything over the 10 hour retainer they will also pay me. I rent a counselling room to see these clients.

So I would get paid my salary on 25th and then on the last day of the month they will pay me for my counselling services which is not taxed.

Theresa says:
19 February 2015 at 10:14

I work for them full time going other work. However I am a therapist who has joined their affiliate network, I do counselling for the clients they refer to me. I am on a monthly retainer and anything over the 10 hour retainer they will also pay me. I rent a counselling room to see these clients.

So I would get paid my salary on 25th and then on the last day of the month they will pay me for my counselling services which is not taxed.

TaxTim TaxTim says:
19 February 2015 at 10:20

If your net "profit"from this work is less than R20 000 per year then you do not need to register as a provisional taxpayer. You can make use of our SARS income tax calculator to get an idea of the extra tax owing if you were to add this to your salary income. You would need to make use of the "local business income" section of the return in order to include this extra income when Tax Filing season opens in July. Or make use of TaxTim to assist in completing and filing your return directly with SARS.

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