19 June 2020 at 9:52
I am currently doing drop-shipping, the products which come from over sea, so I would like to know what income tax would I need to pay. What do I need to know about this if I am doing it for the first time? Could you kindly share tax material with me which I can use to also work my way through this.
This entry was posted in Tax Q&A and tagged Provisional Tax, Deductions, PAYE & UIF. Bookmark the permalink.
19 June 2020 at 15:58
You will need to submit a tax return and declare this income and the applicable qualifying expenses on your income tax return. The profit/loss will be included in your total taxable income on which tax will be calculated as per individual tax tables.
You are trading in your personal capacity, therefore you are required to register for and submit provisional tax returns.
Please refer to our following blogs & decision trees for more information:
Do I need to file a tax return? Am I a Provisional taxpayer? and
What is Provisional Tax? How and when?