You may have seen the latest announcement by the SARS commissioner to increase the qualifying threshold for certain taxpayers to submit a tax return from R350 000 to R500 000.
However as with all previous years, this only applies to certain taxpayers and so it is very important to check if you are one of these.
The threshold applies to you only if you meet ALL of the criteria below:
You have worked for a full 12 months for ONE employer only and received an IRP5;
You have no additional allowances or deductions to claim such as medical, retirement or donations;
You have no travel allowance nor do you make use of a company car;
Most importantly, you earned absolutely NO other income during the tax year;
You did not make any capital gains greater then R40 000 for the tax year.
It is important to remember that this filing threshold, provided you meet ALL these conditions, is not the same as the threshold to actually pay tax or have PAYE deducted. This remains at R79 000 per year for under 65 years olds for the 2020 tax year. For the 2019 tax year this was R78 150.
At TaxTim we always advise you to file your tax return every year so as to maintain an unbroken filing history with SARS. Read here, to find out why this is so important.