- Do I have any recourse if SARS slaps me with penalties, interest and additional tax?
- If SARS believes you intentionally under declared your output tax or over claimed your input tax, they will slap you with a hefty additional tax penalty of up to 200% of the tax.
So on top of the normal VAT of 14%, you'll now also need to pay additional VAT of up to 28%, plus a 10% penalty and interest.
You could even be prosecuted in court and can go to jail.
But is there a way out of th... ››› more
- [12 December 2016]
- What you NEED to know about International Vat claims
- Your company may be entitled to claim a Vat refund on a number of business expenses incurred in other countries. Here's what you need to know about International Vat claims.
You know that you can claim South African Vat as input tax. However, you may be neglecting to claim Vat refunds on international business expenses. Now it's your chance to exploit this untapped reserve.
International V... ››› more
- [12 December 2016]
- Screen your debit and credit notes before the SARS auditors do... Here's how!
- SARS is very strict about WHEN, WHY and HOW you can issue a debit or credit note - especially when it comes to your VAT.
Get it wrong, and you'll face penalties for sure!
Not only that, but your clients/customers will also be targeted by SARS. And let's be honest - no business can afford to develop a reputation as a trouble-maker. If you answer 'no' to any of the screening questions, you're ... ››› more
- [08 December 2016]
- How to use your company's delivery bike to shrink your VAT bill
- Have you bought or rented delivery bikes for your business?
Well, you'll be glad to hear you CAN claim back the input tax to reduce your VAT bill.
But why can you claim the input tax on a bike when it's a mode of transport?
Here's why. *********************
VAT and vehicles – Check the details before you get into trouble!
If you run a business and... ››› more
- [06 December 2016]
- Any person who is liable to register for Vat but fails to do so is guilty of an offence. Don't get caught out by SARS!
- When you register as a Vat vendor, you effectively become a SARS tax collector and part of the Vat collection system. You'll be accounting to SARS for the value added tax levied by you on the goods or services you supply in the course of conducting your business activities.
How do you know if you qualify? Should you register as a vendor?
There's no limit to the type of enterprise or busines... ››› more
- [05 December 2016]
- If you want to cede your debts, make sure you're aware of these Vat implications
- It's a common business practice for companies to sell (cede) their outstanding debtors list to collection agents or banks. Often they do this because they've struggled to recover the money from their debtors and would rather accept some of the value of the debts, boost their cash flow and concentrate on new business.
If you're considering doing the same thing, make sure you're aware of the Vat... ››› more
- [02 December 2016]
- Finally - The truth about notional input tax and how it works
- If you're a VAT vendor, chances are you know the words 'seconds hands goods' and 'notional input tax' go hand in hand'.
But do you actually know what notional input tax is and how it works?
Read on to find out...
Did you hear SARS denied De Beers Consolidated Mines R7 million input tax claim?
When De Beers employed local financial service providers to work out a ... ››› more
- [01 December 2016]
- Master these five exceptions to claim input tax on entertainment
- We all know that claiming input tax is limited on entertainment expenses. Yet, this remains an area often conveniently overlooked by those new to the game. Sometimes, even experienced operators forget.
Here's an easy-to-use reference guide so you don't make input tax mistakes with your entertainment expenses again.
Can you really afford not to be 100% sure about ev... ››› more
- [17 November 2016]
- Five steps to complete your VAT201 return with ease, every time
- It's almost time to file your VAT return form again. And it's important to approach your VAT return with care every time you complete it.
You see, your VAT return in a legal document and has steep consequences for mistakes or misrepresentations you make. If SARS catches you out, they'll think you're trying to evade tax, and could give you a criminal record.
But don't get bogged down with thi... ››› more
- [15 November 2016]
- Use these guidelines to claim input tax on local flights
- Not many people know which portions of their air travel costs carry Vat charges which can be claimed as input tax. Do you? You don't have to forfeit your input tax claims anymore. Read on to find out what you need to do to guarantee you get cash back in your pocket on all your local flights.
Did you know that local flights carry Vat at 14%?
This means you're allowed to claim input tax on c... ››› more
- [11 November 2016]
- How to speed up a cash injection into your business using VAT refunds
- If your input tax exceeds your output tax, SARS owes you money. It's as simple as that.
And, if you're smart, you'll use every allowable input tax deduction you're entitled to, to maximise your refunds and claim back every legal cent you can and inject more cash into your business.
But it's not a quick simple process of just asking SARS for your money. Because as I'm sure you know, trying ... ››› more
- [09 November 2016]
- Use this tool to verify if your supplier is registered for VAT
- You have to include the VAT registration number of the recipient of goods or services on any tax invoice you issue.
If you want to check if your supplier is really registered for VAT, use SARS' VAT vendor search tool to verify the VAT number so you can issue tax invoices correctly.
Here's how the VAT vendor search tool works.
***************VAT Errors in Invoices****************
Err... ››› more
- [09 November 2016]