I recently wrote to you about when and how you can object to a SARS assessment.
But I know from experience, that often times, SARS disallows Vat vendors' objections.
Well, if you've received a notice from SARS that it's disallowed your objection, you can appeal this if you don't agree.
So today I'm going to tell you what you need to do when SARS disallows your objection.
Has SARS denied your objection to its assessment?
· Give you reasons for the disallowance?
· Tell you where you can address your appeal?
Typically, SARS won't do this, because it doesn't want you to win!
But you can fight back.
Here are six steps you can use to lodge your appeal
Here's how to lodge your appeal
You have 30 days, from the date of the disallowance of the objection, to appeal to SARS.
Fill in an ADR2 form for Vat, and clearly set out the grounds of your appeal. Don't add new grounds here, you must appeal the same grounds on your objection. And that's it!
But say SARS disallows your appeal, it must tell you in writing of its reasons for disallowance.
Then you can then approach the Tax Board or the Tax Court. But these are complicated procedures and you'll need assistance for this.
Read on to find out how the objections and appeals process is supposed to work.
What happens in practice with objections and appeals?
News flash: Pretoria East Motors' assessment reduced from R5 million to R1 million
SARS raised an assessment of R5 million on Pretoria East Motors (PEM).
But SARS had made a mistake.
And if PEM didn't fight SARS, they would've paid four times what they had to!
Can you afford to unnecessarily pay four times your Vat or tax?
Here's what PEM did and how you too can fight SARS' assessment.
Here's what unfortunately typically happens with the objection and appeal process:
1. SARS doesn't consider your objection and just disallows it – giving no reasons for disallowance.
2. SARS notifies you your objection is invalid – even when it isn't!
3. SARS doesn't keep to the time frame as is set out in the procedures.
4. SARS loses your objection and/or appeal documents.
5. SARS cites fictitious time-frames in their letters – totally different from the time frames set out in the procedures.
And if this happens to you, you'll be stunned into doing nothing at all! In my experience, I find vendors either don't know how to fight back, or believe they don't have the money to appoint expensive legal teams to fight SARS, so they just let it go. And SARS gets away with their malpractice.
But not anymore! I've teamed up with Advocate Alan Lewis
and our product The SARS Dispute Resolution Process
sets out step-by-step instructions of how to challenge SARS. We're giving you everything you need to know when you don't agree with SARS' assessment at an affordable price!
Don't just let SARS have its way. Here's how to fight.
There are five things you could be doing that could trigger a SARS Vat audit. Here's what you need to know.