On Friday, three Sri Lankans were sentenced for value added tax
(Vat) refund fraud of over SLRs4 billion.
In addition to the fines, the businessmen are charged with fraudulently withdrawing Vat
refunds as well as false business registration and identity card forgery, says Emirates247
But it's not just Sri Lanka where you'll get caught out for this type of fraud.
Locally, SARS has cracked down on compliance and, as a result, is likely to be more critical of your Vat
returns you submit before it issues a Vat
Fill out your Vat return carefully and keep your financial records to ensure your Vat refund is paid out
So you need to be careful how you fill in your Vat
return, as putting a zero in the wrong place on your Vat
return is now all it takes to trigger the Vat
audit process and delay SARS in paying any Vat
refund you're due, says FSP Business.
This is also important because SARS will refuse to pay your Vat
refund if you have any other outstanding tax
issues like not paying your employees' PAYE, or owing money to Customs.
Here's how to see if all is on track to receive the Vat
refund you've claimed from SARS!
Then, once you've submitted your Vat
return, you can use SARS' Vat
refund dashboard available through eFiling to track the progress of your Vat
refund, says FSP Business
This is the easiest way to check your Vat
compliance, as SARS' Vat
refund dashboard will show you if SARS needs any more information or documents from you to process any Vat
refund due to you.
Simple as that.