HomeHome SearchSearch MenuMenu Our productsOur products

Be warned! Cancelling your PAYE registration doesn't mean SARS is done with you

by , 07 October 2016
Be warned! Cancelling your PAYE registration doesn't mean SARS is done with youIf you think getting into the tax system is long and complex, try getting out of it, especially when it comes to cancelling your PAYE registration.

SARS doesn't just let you off the hook when it gets your application to cancel.

A few things have to happen first before it can completely deregister your company.

And we'll tell you about them below.

But first, let's explain the important points about PAYE...

 
********************


8 ways to LEGALLY beat the taxman


There are a few CGT loopholes that can save you thousands of rands every single year and, in some cases, let you off the CGT hook completely…

Click here to get your hands on them

 
********************
 
The only way to account for PAYE, and avoid SARS penalties
 
You have a duty to register for employees' tax purposes if you pay remuneration to an employee who's liable for normal tax.
 
According to SARS, the process of deducting or withholding tax from remuneration your employee earns is known as PAYE (Pay As You Earn).
 
If you register with SARS for PAYE and/or Skills Development Levy (SDL) purposes, you must also register for paying Unemployment Insurance Fund (UIF) contributions.
 
You must pay the amounts you deduct to SARS monthly. You must do this by completing the Monthly Employer Declaration (EMP201)
 
If you don't account for PAYE, SARS will hit you with penalties. And it won't just be a small fine. SARS penalties can range up to 200%.
 
Now let's get to the cancellation part...
 
*********** Hot off the press  ************

Stop forking over thousands of unnecessary cash to SARS!

Be one of the first in the country to get access to the information that will make sure you pay the least tax possible...

You can legally save your company thousands of rands in taxes on forgotten fringe benefits.

Get access now!


*******************

SARS will only cancel your PAYE registration and leave you alone when the following happens
 
There are two instances when SARS will cancel your PAYE registration.
  • When you apply for it by filling in the EMP123 form; or
  • When the Commissioner sees you haven't been carrying out your tax duties well. 
Cancelling PAYE registration normally takes place from the last day of the tax period in which you stop trading. Only the Commissioner has the power to make the cancellation.
 
But, just because you've submitted your request for PAYE registration cancellation, doesn't mean he'll remove you from the system right away.
 
He'll only completely deregister you when you sort out your outstanding liabilities or when you're done settling all your tax obligations.
 
Once the process for cancelling is complete, he'll tell you the date the cancellation will take effect.

SARS will only cancel your PAYE registration when you meet all your tax obligations. So don't make the decision to get out of the tax system lightly. Think about it and the consequences that could follow carefully.


Related articles




Related articles



Related Products



Comments
0 comments


Recommended for You 

  Quick Tax Solutions for Busy Taxpayers – 35 tax answers at a glance



Here are all the most interesting, thought-provoking and common tax questions
asked by our subscribers over the last tax year – everything from A to Z!

To download Quick Tax Solutions for Busy Taxpayers – 35 tax answers at a glance click here now >>>
  Employees always sick? How to stop it today



Make sure you develop a leave policy to regulate sick leave in your company.

BONUS! You'll find an example of the leave policy and procedure in this report.

To download Employees always sick? How to stop it today click here now >>>
  Absenteeism: Little known ways to reduce absenteeism



This FREE e-report will tell you how you can reduce absenteeism in your workplace while avoiding the CCMA and without infringing your employees' labour rights.

To download Absenteeism: Little known ways to reduce absenteeism click here now >>>
  7 Health & safety strategies to save you thousands



Don't let a health and safety incident cost you one more cent. Implement these seven
strategies in your company today.

To download 7 Health & safety strategies to save you thousands click here now >>>