I started a small online business at the age of 15 and I make some money from it. It's sort of like an on-off thing because I have school as well to worry about. What I mean is we'll get a new client like once every 2 months and get paid then only. Our overall turnover is not more than R50000. What I'd like to know is do I need to pay tax on this income or am I too young to? Also are people below 18 years of age allowed to run small businesses? I'm a sole trader, not a company. Your advice would be greatly appreciated. Thanks.
Regardless of age you will need to pay tax once the actual taxable income, basically profit, exceeds R63 556 per tax year so for now you are free from having to pay tax. There is no lower age limit for running a business, but just watch that you don't go over that threshold and you haven't registered as a taxpayer.
Good going with running a business and being at school! The country needs more young entrepreneurs like you!
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