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Purpose of provisional tax?

Posted 17 May 2015

Kayla says:
12 May 2015 at 9:37

What is the purpose of provisional tax?

TaxTim TaxTim says:
12 May 2015 at 15:50

It is for those taxpayers that do not have their PAYE paid to SARS on a monthly basis to be able to pay portions of the taxes owing every 6 months. SARS would prefer to have their money upfront and this also avoids the taxpayer getting into financial difficulty if they have to pay all the taxes in one go.

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