Written by Marc
Posted 12 April 2022
Q: What are CIT documents
Written by Evan
Updated 11 April 2022
My husband needs to pay me R850 000 maintenance as part of our divorce settlement, seeing as he does not have the funds all at once so he will be paying it to me in as a lump sum of R600 000 and the rest will be monthly payments for 3 years. What will the tax be on it?
TaxTim says:
There should be no tax due on the R600 000 if it's maintenance paid from your husband to you, you are however required to declare this income to SARS under the n...
Written by Patrick
Posted 11 April 2022
Let’s face it, SARS didn’t make it easy for taxpayers to claim their home office expenses this past tax season. We can’t blame them really - being faced with millions of newbie work-from-homers, they had to weed out the legitimate claims from the chancers.
At the start of the season, they made it clear that they would only allow claims for taxpayers who had a separate office at home, set up specifically for their work, which was used by them alone. The office could n...
Written by Alicia
Updated 8 April 2022
Written by Marc
Posted 8 April 2022
Q: Please explain the tax calculation between pensionable and non-pensionable salary
Written by Marc
Updated 8 April 2022
Hi there :)
My service-based company is VAT registered. When we bought our first car I was very disappointed to find out I may not claim back the VAT we paid on the car back, since we are not a motor dealer. Now a couple of years later we want to sell that same car. My question is do we have to add VAT to our selling price as we do on all our services?
I hope not, because if we sell to a private non-VAT registered individual, then he or she will lose out on the 15% I have ...
Written by Marc
Posted 8 April 2022
I am having a problem with obtaining my IRP5 form from 2010 from one of my employers.
I was still in school this time and I worked as a waiter back then, so I was clueless when it came to submitting tax and all. I did my 2013 return, and now SARS have asked me to do it from 2010?
Answer:
You will need to contact your employer and ask them to send you a letter explaining why they are unable to provide you with the IRP5.
In most cases, your employer migh...
Written by Nicci
Updated 7 April 2022
I struggle to understand how the (The total deduction - code 4497 on IRP5) is calculated. I have a medical aid fund, pension fund and retirement annuity. My employer (the church) is contributing to all three of these funds. This question is for the 2021/2022 tax year with the new T-day implications. In the income section, the following IRP5 codes are used. (This I understand)
3810 - Medical aid benefit
3817 - Pension fund fringe benefit
3828 - RA fringe benefit
In the deductions/contribution section. These are the only items Payroll shows. ...
Written by Nicci
Posted 7 April 2022
Q: VAT103 certificate
Written by Alicia
Posted 7 April 2022
Q: Self-employed and tax payable to SARS
Written by Alicia
Updated 7 April 2022
Written by Evan
Updated 6 April 2022
Written by Marc
Posted 6 April 2022
Q: Provide an example of a Strong Password.
Can you show me what my eFiling password must look like????
Written by Evan
Updated 6 April 2022
Written by Marc
Posted 6 April 2022
Q: What is the difference between an ITA34 and an ITSA
Written by Marc
Posted 6 April 2022
One of the questions most asked when it comes to tax season, is “what happens now that I’ve submitted my income tax return, when do I get my refund?”’
If you’re due a tax refund then you will probably get the money deposited into your account within a few days. SARS will also email or SMS you telling you that an IT34 (Summary of your return and refund) and ITSA (Income Tax Statement of Account) have been issued. They will detail your tax refund (tax back) if any. So look forward to that deposit into your account. ...
Written by Marc
Posted 6 April 2022
Question from Kelly:
How do you calculate tax on overtime?
Does the overtime put you in a higher bracket (pay higher tax percentage) for one month only if you received overtime in one month only?
e. G. Monthly income = R12050
Overtime = R4600
No benefits
How much tax for that month?
TaxTim reply:
Yes for that month you will be taxed at a higher rate as the PAYE is deducted based on the tax tables which are annualized.
Please have a look at this:
This is your take home pay: R14662
...
Written by Marc
Updated 6 April 2022
Written by Neo
Updated 5 April 2022
The TaxTim lump sum tax calculator provides for BEFORE and AFTER retirement, retrenchment or death - with a marked difference between the BEFORE and AFTER options. I would just like to make sure that this is correct, as I am being told by my fund that withdrawing retirement funds (post retrenchment - but before retirement age) does not have the same rate. I have been forced to withdraw from my pension fund because of retrenchment due to "redundancy because of a general reduction in personnel" (a cost to company reduction)...
Written by Neo
Updated 5 April 2022
I have a loan with my company (payable from the company). I would like to know what the effects are that we need to consider regarding interest-free loans? I am aware that we can create a tax deduction for the company and I will have the interest exemption, but I feel there is something I'm missing?
Also if the shareholder already exceeded his R23k exemption, will it be fine if we do not levy any interest on this loan? Will there be any unknown tax consequences for that?
...
Written by Marc
Posted 5 April 2022
Q: How do I pay Tax on Forex Trading?
I am a South African resident. I am a full-time forex trader (almost a year now). I trade via a broker overseas, I deposit funds into my trading account via their bank accounts here in South Africa. I would like to know if my profits from trading forex are taxed, how do I declare this and what forms should I fill from sars. Also, what can I expect in terms of what percentage of tax I will pay?
Written by Marc
Posted 5 April 2022
A little background on myself. I am a salaried employee of the department of health in South Africa. I am registered with eFiling and have been submitting tax returns since 2008/09.
I have a hypothetical question about forex trading. If I make say R300 000 suppose in the 2012/2013 tax year and the amount I deposited was about R50000to fund the account, then what would my taxation be? Or at least what would the percent on taxation be and on which amount would that percentage be taken off? The net or the total?...
Written by Nicci
Updated 5 April 2022
Written by Marc
Updated 4 April 2022
I received the following confirmation letter, what does it mean? Will I receive my refund within the next few days or what?
Dear Taxpayer
VERIFICATION OF ASSESSMENT
We refer to the verification of your assessment for the 2021 tax period. Please note that no adjustment has been made to this assessment. However, in terms of the Tax Administration Act the South African Revenue Service reserves the right to conduct further reviews in future if required. Should you have any queries please call the SARS Contact Centre on 0800 00 SARS (7277). Remember to have your ID number or income tax number at hand when you call to enable us to assist you promptly. Sincerely...
Written by Marc
Posted 4 April 2022
Notice issued of SARS eFiling IT34 for 2008 and 2013
Do Your Tax Return Easily