Private or personal liability companies that are required to audited by the Companies Act, 2008 or regulation 28 must file a copy of the latest approved Audited Financial Statements on the date that they file their annual return with the CIPC. The following private companies are required to have their annual financial statements audited; Any…
Tax avoidance is the legitimate minimizing of taxes, using methods included in the tax code. Businesses avoid taxes by taking all legitimate deductions and by sheltering income from taxes by setting up employee retirement plans and other means, all legal and under the Internal Revenue Code or state tax codes. Most taxpayers use some form…
Zero-rated supply – refers to items that are taxable, but the rate of tax is nil on their input supplies. The government doesn’t tax its retail sale but allows credits for the value-added tax (VAT) paid on inputs. This reduces the price of a good. Governments commonly use zero-rated goods to lower the tax burden…
Interest rates charged in terms of the legislation administered by SARS are split into three main categories, i.e. – interest charged on outstanding taxes, duties and levies and those payable in respect of refunds of tax on successful appeals and certain delayed refunds interest payable on credit amounts (overpayment of provisional tax) in terms of section…
ACCOUNT RELATED DISPUTE If you don’t agree with a penalty due to the late payment of taxes and the related interest, follow these three easy steps: Step 1: Request remission for the penalty by providing reasons for the late payment of tax by submitting a ‘Request for Remission’ via eFiling. Step 2: If the request for…
Please take note of the following rare scenarios: An individual can have an income tax number from birth if he / she becomes liable to submit an income tax return or becomes liable for any normal tax. For example, a child born into a wealthy family may be registered for income tax if his /…
This is a company (or trust as the case may be) that is not a labour broker, and whose services to clients are performed on its behalf by a connected person; and such person would be regarded as an employee of the client if the relationship was directly between the person and the client; or…
A loan is the act of giving money, property or other material goods to another party in exchange for future repayment of the principal amount along with interest Member’s Loan In simple terms, this is the money you have borrowed, or the company has loaned you.
As a Director of a Company, your salary is subject to monthly PAYE and UIF deductions. Many small business owners don’t realise that if they operate their business through a company (Pty), the company needs to be registered as an employer with SARS. This means, the company needs to deduct employee’s tax (PAYE) from the…
Estate Duty is payable on the estate of every person who dies and whose nett estate is in excess of R3.5 million. It is charged at the rate of 20%. Estate duty is levied on property of residents and South African property of non-residents less allowable deductions. The duty is levied on the dutiable value…
