I am a Freelance Art Director, started Freelancing mid Sep 2011. At the end of tax year 2012, I submitted my tax which reflected income from projects that I had under-taken. Some of the companies that I did projects for automatically deducted PAYE @ 25%, although a few of them did not which was also reflected on the tax return. Resulting in me having to pay the shortfall PAYE to SARS per project that did not deduct tax. I was then told that I had to register for provisional tax which I did. MY DILEMMA IS THIS: All Income received from various projects for this current tax year ending February 2013 had PAYE deducted by the various companies. As I am now registered for Provisional Tax and the PAYE has already been deducted must still pay provisional tax before the 28 FEB 2013 deadline. WHAT ARE MY OPTIONS? Can I deregister for provisional tax or what provisional tax must I now pay before 28 Feb 2013?
You would still need to submit an IRP6 Provisional tax return, however on the return you would include all the PAYE already deducted in the appropriate box and SARS will take this into account in determining your provisional tax payment.