Depreciation FAQs
Posted 17 February 2017
What constitutes wear and tear? What is depreciation? What is the depreciation limit?
Wear and Tear or Depreciation is the decrease in value of an asset. SARS allows you to deduct this decrease each year based on the tables. See here for the latest
Depreciation Calculator Can I claim depreciation for my car as a sole proprietor if I have a log book by using the tax table?
You would be able to depreciate your car over 5 years, but you need to then apportion it for the use of business travel based on the logbook...
Read more →
6 Reasons Accounting Records Are Critical to Your Small Business
Posted 18 October 2016
You’re an entrepreneur. A wildly innovative individual. An ideas person. A make-things-happen person. A real go-getter. Passionate about your business and pursuing your dreams. And brilliant at keeping your accounting records up to date. Chances are that last one doesn’t ring true, does it? Don’t feel alone, financial record-keeping is the bane of existence for most small business owners and managers.
When you’re in the throes of building your empire from the gr...
Read more →
Special Stopper at SARS: What We Know For Sure
Posted 22 September 2016
Over the last few weeks, our helpdesk has received an alarming number of queries from taxpayers asking what they can do as their refunds are being held back by SARS due to a special stopper being placed on their account. It’s a complex situation and the only advice we've been able to provide has been for the individual to make contact with SARS directly to try resolve the matter.
The South African Institute of Tax Professionals (SAIT) issued a statement on Tuesday 20 September 2016 advising that they’re looking into the issue after numerous complaints had been raised...
Read more →
5 Great Reasons to File Your Tax Return Early This Year
Posted 24 May 2016
Are you the type of person dashing into the store to grab a birthday gift en route to a party? Or perhaps you’ve found yourself scratching through your craft box at 11pm the night before to make a ‘World Book Day’ outfit for your son? Or possibly you’re one of the hundreds of thousands of South Africans who waits until the last week of November to file your tax return?
While I’m not suggesting that every minute of your life needs to be pre-planned and organised, there are certainly a number of benefits to getting your tax done early...
Read more →
The Smart Way to Save Tax when Renting out a Property
Posted 8 April 2016
Taxpayers who earn rental income from a second property of theirs often don’t know what they need to do when it comes to declaring this income to SARS. Sometimes taxpayers think that they don’t have to declare this extra income, or can hide it from SARS by not entering it on their tax return form - a big mistake!
The truth is that extra income earned from rental is taxable, and SARS needs to know about it. In some cases - if the amount earned (profit) outside of a sala...
Read more →
What is Turnover Tax?
Posted 23 March 2016
Turnover Tax is a simplified tax system only available to sole proprietors, partnerships, companies or close corporations with a “qualifying turnover” of less than R1m per year. These types of entities are called micro businesses.
As the name implies, Turnover Tax is a type of tax, which is calculated against the turnover of a business, as opposed to a percentage of profit (i.e. income less business expenses) as per usual business tax. This difference reduces the administr...
Read more →
4 Common Provisional Tax Penalties ' And How to Avoid Them
Posted 29 February 2016
Seasoned provisional taxpayers – those people who earn income from sources other than, or in addition to a regular ol' salary or traditional payment from an employer - are all too familiar with the process of estimating taxable income and submitting provisional tax returns. Not once - but twice a year!
Yes, it's a bit painful (although TaxTim makes it super easy) but entirely necessary if you don't want to be lumped with penalties from SARS...
Read more →
2016 Budget Speech: Welcome Back, Minister! You Couldn't Have Returned Just for the Free Lunch?
Posted 25 February 2016
The 24th of February 2016 was supposed to be a watershed moment for the Economy of South Africa. The old-new Minister of Finance, Pravin Gordhan, was to deliver his budget for the 2016/2017 tax year and save South Africa from a financial pit-fall in the form of an International Ratings Agency downgrade. The jury is still out on whether or not this is possible. Immediately after the budget was revealed the Rand tumbled 2%, which doesn’t bode well for market sentiment. However, ...
Read more →
2016/2017 Tax Tables
Posted 24 February 2016
Income Tax Tables for the 2017 Tax Year - 1 March 2016 to 28 February 2017
Income Tax Thresholds
Read more →
What You Need to Know About Changes to the Tax Clearance System
Posted 23 February 2016
Tax compliance makes its way into many aspects of life and business. Perhaps you’re considering applying for a tender, or for a foreign investment allowance to move funds offshore, or even looking to emigrate and leave our shores. These are just a few examples of instances where you may be asked by a third party to provide a Tax Clearance Certificate.
And until now, the course of action to obtain your certificate has been a tedious one.
Upon request, SARS would check its records and verify that the taxpayer had filed all required tax returns, paid all taxes, penalties and interest due, before releasing a Tax Clearance Certificate confirming a good standing...
Read more →
Retirement Funds Tax Laws Effective 1 March 2016 - How SARS' New Changes Affect You!
Posted 10 February 2016
If you’re diligently putting money away for your retirement in the form of a pension, provident fund or retirement annuity, you may be curious – perhaps even a touch concerned – about the changes SARS has made to the retirement fund tax laws, which come into effect on 1 March 2016.
If you missed the news, here's a quick overview.
SARS have changed how contributions to retirement funds are treated from a tax perspective, as well as how your funds are managed when you retire...
Read more →
Swear an affidavit for SARS
Posted 7 August 2015
Has SARS asked you for documents that you can't produce, such as an old IRP5 from a prior year that your employer doesn't have, or that simply doesn't exist?
To prove to SARS that you cannot produce the document they want, you will need to produce what is called a sworn affidavit.
This is basically a letter that you must write, that you then take to your nearest police station to get signed and stamped.
Items to include:
1. Your name, ID number and contact details...
Read more →
SARS isn't paying my refund, they want my old returns!!!!
Posted 3 August 2015
Taxpayers this year are facing a new gripe with SARS when it comes to receiving those well-earned refunds. The current two scenarios are:
- NO AUDIT: A taxpayer files a tax return, gets their ITA34 and does not need to submit supporting documents; or
- AUDIT: A taxpayer files a return and in their ITA34 is requested to submit supporting documents, after which they receives a Completion Letter stating "no adjustment made".
In both these cases a refund should be paid out a few days later (if the taxpayer is due one), however thousands of taxpayers still have not been paid their refund. Here’s why!...
Read more →
SARS Tax Tables 2015
Posted 26 February 2015
Tax Thresholds:
Read more →
Thank you Minister - we expected worse! 2015 Budget
Posted 25 February 2015
New Finance Minister Nene delivers his first budget with some “better than expected” tax increases. The fight against corruption was highlighted with the minster announcing a series of reforms and procedures to be introduced both to curb corruption and make doing business with the state easier. The minister announced that R25bn would be saved in expenditure over the next two years, but R16.8bn is to be raised this year via tax increases and a remarkably large rise in the fuel and road accident fund levies. To be honest, we expected greater tax increases from the minister, thankfully he spared us some of the pain! ...
Read more →
What's the delay with getting my SARS Refund?
Posted 6 August 2014
SARS has typically been quick to refund taxpayers who have filed their tax returns and are due a refund, with money appearing back in their bank accounts smoothly and reliably, often within a day or two.
However since the opening of this tax season on 1 July 2014, the process appears to have changed and suffered a few hiccups along the way. From the queries we have received over the last month from multiple confused taxpayers, it would seem that thousands of refunds were first paid out, then reversed...
Read more →
What to Expect after Submitting your Tax Return to SARS
Posted 23 July 2014
As soon as tax season opens in July, many taxpayers rush to submit their ITR12 tax returns as early as possible, eagerly hoping for a nice refund. After the rush, when nothing happens, they often ask us "Ok I have submitted. What happens now?" In most cases where an income tax refund is due to a taxpayer, SARS pays it out within one or two days. However there are many instances when this does not happen, leaving people feeling unsure as to what is happening with their tax return and
tax refund.
...
Read more →
What if I am not tax compliant?
Posted 22 May 2014
SARS, in their attempt to promote compliant taxpayers and maximise timely revenue collection, have traditionally imposed penalties for late filing of tax returns. In 2012 SARS upped their game significantly and imposed heavy fines for the following transgressions which still hold to today:
- Failure to register as a taxpayer.
- Failure to inform SARS of a change of address and other personal particulars.
...
Read more →
2014 Budget - A move to economic transformation
Posted 26 February 2014
In delivering what could possibly be his last annual budget and perhaps in an election year a very pragmatic one, Minister Pravin Gordhan painted a rather positive picture for the future of South Africa, whilst at the same time warning of the impact the global economy is having on the South African economy. He too, had a “good story” to tell of how well managed the economy is and how we have survived the economic downturn of the last half decade. The minister, like his predecessors b...
Read more →
Garnishee orders explained: How SARS can deduct penalties directly from your pay cheque and how to stop it
Posted 14 November 2013
The last days of the month are often the most exciting for employees as they look forward to spending their monthly pay cheques. Unfortunately for many taxpayers anticipation quickly turns to grief when the money they receive in their bank account is suddenly less than they had expected. Stress and anxiety then result in light of impending debit orders and monthly expenses that need to be paid.
Apart from the ordinary deductions that your employer takes off your salary each month - expenses for your benefit such as medical aid or a retirement / pension plan - there is another deduction that can take place unexpectedly: a garnishee order...
Read more →
SARS Tax Tables for 2014
Posted 4 July 2013
Tax rates for Individuals and Trusts
Income tax rates: Natural persons (that's you) and special trusts.
2013 tax year: 1 March 2013 - 28 Feb 2014.
Individuals and Special Trusts:
Read more →
Important Information for Surviving the SARS Outbreak
Posted 18 June 2013
From the office of the Center for Dis-Ease Control, 12 Bliksem Straat, Pretoria, South Africa EPIDEMIOLOGICAL INFORMATION
Severe Anxiety from Revenue Services (SARS) is a common affliction affecting millions of South Africans in all major city centres every year. Historically, symptoms begin to present themselves in the winter season from 1 July and continue to increase in severity towards a statistical peak for the epidemic on 22 November every year...
Read more →
The effect of the 2013/14 annual budget speech on the average South African taxpayer
Posted 28 February 2013
It was with great enthusiasm that we at TaxTim awaited delivery by the Minister of Finance of his annual budget speech this afternoon, especially after some of the shocks experienced by taxpayers and tax professionals last year. Surprisingly he delivered a very mild budget in terms of individuals with the Minister stating, “No tax rises.” The main focus areas relating to tax in this budget speech were on compliance, tax evasion and big companies seeking to shift their income around the world in order to avoid higher taxes...Read more →
Why employers should help their employees with tax
Posted 25 February 2013
Individual taxpayers have traditionally been told that when it comes to tax returns, they're on their own with regard to submitting each year and their employer does not need to get involved. Despite the employer making payment of PAYE (the majority of their tax liability) on their behalf, after handing over their IRP5 detailing this payment they resume business as usual and the employee is left to navigate the ever-challenging tax system on their own, without any assistance. Fortunately this attitude is changing as more companies recognise the benefits of helping staff with their tax matters.
...
Read more →
SARS Tax Tables for 2013
Posted 18 January 2013
Tax rates for Individuals and Trusts
Income tax rates: Natural persons (that's you) and special trusts.
2013 tax year: 1 March 2012 - 28 Feb 2013.
Read more →
Older posts →← Newer posts
2 3 4 5 6 7 8 9 10 11 12 13
