- Make sure your credit notes have these six items or you'll face the following consequences
- It's simple. If you cancel a tax invoice, you have to issue a credit note.
You also have to claim back the VAT.
If you don't you will probably underpay your VAT and miss out on input tax deductions.
Let's have a look at what must legally be on your credit notes and the consequences you will face if you don't get it right.
But, before I cover that, let's look at why you must issue 'lega... ››› more
- [27 January 2017]
- Discover how Vat works with credit notes so you can avoid SARS penalties
- Do you know when you should issue a credit note? What about dealing with Vat on credit notes? Read on to find out what these two things include so you can comply with the Vat Act and avoid hefty penalties.
The Practical Vat Loose Leaf Service explains that credit notes are issued when a sale or a supply takes place and one of the following subsequently happens to that supply (sale):
The... ››› more
- [19 January 2017]
- 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]
- Three questions to help you screen your company's debit and credit notes before submitting them to SARS
- Watch out! It's easy to make a mistake with Vat when dealing with discounts and credits received from suppliers. If you do, you could underpay your Vat and face means hefty penalties and interest! But your company can avoid this. Use these three questions to screen your company's debit and credit notes before submitting them to SARS to ensure everything is above board.
Unfortunately for your co... ››› more
- [27 October 2016]
- Six things your credit note must contain to get SARS' approval
- When you give your clients credit notes, you have to be 100% sure they contain the right information. After all, these documents are as important as your tax invoices.
If you get this information wrong, SARS might think you deliberately accounted for your Vat incorrectly and it will penalise your company harshly for it.
To help you avoid this catastrophe we're revealing the six thing that ... ››› more
- [06 November 2014]
- Four situations when issuing a credit note can help you avoid Vat complications
- If you're a Vat vendor, you know all about tax invoices. They're the most important document in the Vat chain.
But there's another Vat document that's almost as important.
It's a credit note and getting this wrong could result in Vat audits and hefty penalties.
To help you avoid this, we're revealing exactly when you should issue credit notes...
Give your client credit notes in ... ››› more
- [06 November 2014]
- Ask these seven questions to ensure your debit and credit notes are SARS-proof
- Whenever someone buys supplies from you, you have to give them tax invoices. But what happens if your customer returns the supplies and asks you for a credit note? Or you have to give your client a debit note because you gave him supplies on credit?
This is perfectly acceptable, but your debit and credit notes have to be completely SARS-proof if you're going to avoid a backlash. For this to hap... ››› more
- [05 November 2014]
- If you gave your client a discount you MUST correctly issue a credit note! Here's how to do this...
- You know you have to document every aspect of your company's Vat transaction. This will help you claim input tax and accurately declare your output tax to SARS.
That's why debit and credit notes are so important if something out of the ordinary happens during a Vat transaction.
For example, if you give your client a discount, you'll need to issue him with a credit note.
Here's how to do ... ››› more
- [05 November 2014]
- Avoid the clutches of SARS' auditors: Use these three questions to screen your credit and debit notes
- Watch out! It's easy to make a mistake with Vat when dealing with discounts and credits received from suppliers. If you do, you could underpay your Vat and suffer huge penalties and interest as a result. Don't take that risk. Use these three questions to screen your debit and credit notes before submitting them to SARS and avoid penalties.
There's a way you can avoid being under SARS' radar whe... ››› more
- [19 August 2013]