You'll be paying a tax penalty of up to R4 000 to SARS on 31st August 2016…
If you haven't submitted your provisional tax
return by 28 February 2016, then SARS will add a R4 000 penalty to your tax
Errors mean double penalties – one for the error, and one for not following the rules!
Don't know where to start?
Or how to calculate the tax
to get your hands on a tell-all guide today! It'll walk you through every step in the provisional tax
process, so you'll never put a foot wrong again!
Calculate your estimated taxable income for the tax
This is your most important step.
Calculate the amount of tax
you'll pay on this taxable income.
You can do this by referring to the SARS tax tables
in Chapter P01
of your Practical Tax Loose Leaf Service
Subtract the annual tax
rebate from this amount.
Again, you should refer to the SARS tax tables
in your handbook.
This will give you the total amount that you'll have to pay for the tax
If it's the first provisional tax
return you're calculating, then take away half of the total tax
payable for the tax
year, after which you'll be left with the amount due for the first period of the tax
If you're calculating the second provisional tax
return, you can skip this step.
Subtract any employee's tax
deducted for the tax
Only subtract the first six months if you're calculating the first provisional tax
Subtract any allowable foreign tax
credits for the tax
year. But only if you're completing your first provisional tax
Add any outstanding SARS penalties and interest on this amount.
This information will either already be on your provisional tax
return, or you can get it from SARS and include it in your tax
If it's the second provisional tax
return you're calculating, then make sure you subtract any provisional tax
which you paid for the first provisional tax
*It's worth noting that, while all companies and close corporations are provisional taxpayers, there are certain criteria which you should meet, as a natural person,
in order to qualify as a provisional taxpayer.
To see if you, as an individual qualify, as a provisional taxpayer, as well as to learn examples, for both companies and individuals, for the above-mentioned steps, simply page over to Chapter P 01
in your Practical Tax Loose Leaf Service
If you don't already have this invaluable resource, click here.