You must keep your company records:
Basically, record-keeping is the most important aspect of your Vat management strategy as your records are the proof you need to substantiate your claims and returns to SARS.
According to the Practical Vat Loose Leaf Service, SARS can conduct a Vat audit on you within five years of assessing your Vat returns to query or examine your audit trails and accounting methods. And if your records don't comply, you'll face serious penalties of up to 200% now that the TAA is in place.
Your records must match up to what SARS wants.
These are the three things your records must show:
That's not all.
Make sure you keep these 16 financial records for five years
Remember, one tiny error in your company records could make you liable for severe Vat penalties and interest from SARS. Now that you know the importance of keeping your records, use these four tips to keep your physical and electronic records safe.
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