Individuals and partnerships must pass the following test to qualify for Turnover Tax!
All small businesses know it! Turnover Tax is a blessing, especially when compared to having to juggle VAT, Income Tax, Provisional Tax, Dividends Tax as well Capital Gains Tax.
This alternative tax system, namely Turnover Tax, can make it so much easier to meet tax obligations.
But how can you make sure you, as an individual or a partnership, qualify for Turnover Tax?
By answering 'YES' to 9 simple questions of course! Take the test now to see if you, as an individual or a partnership, are eligible for Turnover Tax...
Will your turnover be R1 million or less for the year of assessment?
Does your financial year end fall on the last day of February?
Can you confirm that you weren't registered for Turnover Tax in the last 3 years?
If you earn income from 'professional services', such as consulting, can you confirm that it's not more than 20% of the total income for the year?
If your business has gotten rid of assets, can you confirm that the total amount from this disposal (over the last 3 years) is less than R1.5
Do you agree that your business isn't a Public Benefit Organisation (PBO) or a recreational club?
If your business is a labour broker, does it have a SARS exemption certificate?
If your business is a partnership, will all of the current partners remain natural persons
throughout the coming assessment year?
To see what the last question is, simply page over to Chapter T 16
in your Practical Tax Loose Leaf Service
But don't stop there! In this chapter you can also see how to calculate Turnover Tax using the SARS tax tables, how to pay Turnover Tax as well as how to fill out Turnover Tax forms, and so much more! So click here
if you don't already have this fantastic tax resource.
Don't forget to get your hands on the Turnover Tax 101 eBook
where your small business will learn how to save money while at the same time reducing any tax-related stress.
if you don't already have it.
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