How to get SARS to sponsor your next client golf game
How many clients have you taken out for a round of golf, or been on the receiving end of a golf invitation? Let's face it, a lot of business deals are done on the golf course.
And if you're the one doing the inviting, you know how much it can cost you for a quick round.
But there's a way you can get SARS to sponsor your next game of golf.
Let me explain...
SARS is hungry for money. Your money.
It's teetering on the edge of around a R150 million shortfall of collected taxes... and if it fails to get this money, lights will go off, roads will crumble and water will become undrinkable.
So, SARS' only hope is to go after taxpayers with a vengeance.
But not individual taxpayers.
No. It's set its sights on corporate taxpayers, like you.
And that's why it doesn't want you to see this letter...
How much is a golf game really going to cost you?
Let's break the costs down to see what you're in for per person:
And don't forget… There are also tees, balls, lunch and of course drinks on the 19th hole.
An average round of golf is R350;
A golf cart at R150;
R350 to hire golf clubs if you don't have any of your own;
At least R50 at the halfway house for drinks per person; and
R200 for a glove.
That's R1 000 plus some change and you haven't even won your client over yet.
But, you can claim some of these expenses as a deduction from SARS.
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How to get 28% of your bad debt back from SARS...
Claiming 28% of your golf game costs, aren't the expenses you can claim. You can also claim 28% on any bad debts you may have with clients.
Does your company suffer from bad debt? It no longer has to...
Today, you'll discover how to get SARS to pay you back for 28% of your company's bad debt!
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How to get SARS to sponsor your golf game
Before you rush off and book your four-ball, be careful. If you just take a client out for a game of golf and snacks, without the intention of boosting your business, SARS won't let you claim any of the deductions.
This is the first golden rule of being able to claim your expenses as a deduction. You must incur the costs to produce income.
Unfortunately, you can't normally claim the cost of your golf club membership fees but, if you can prove a connection between the costs you incur in the production of income and that you actually incurred the costs to make money for your business, then you can claim them. You can definitely claim the drinks costs and the cost of the round of golf.
To claim the costs, you'll add your expenses to the entertainment line item on your company income tax return.
If SARS ever queries your costs, it will be easy for you to prove. Make sure you keep records of your golf game, and any income you receive from your new client following your day out.
On the flip side, if the client chooses to go with another supplier, you can still claim the costs, because your intention was clear, to make more money for your company.
So, now you know the entertainment expenses you CAN claim on for a round of golf, and how you can make sure you can successfully claim them!
But, there are a lot more expenses you can claim on. To make sure you don't miss out on some great tax savings, get your copy of the Practical Tax Loose Leaf now. There's nothing better than getting money back from SARS...
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