- Save thousands and get your employees to keep an accurate, SARS-compliant logbook
- Here's what your employee needs to know about keeping an accurate logbook
Put a stop to all your company car and travel allowance headaches today
How you can save R26 983 with an accurate logbook
A vital part of managing your employees travel allowance is his logbook. This must accurately detail his travel expenses.
If his logbook isn't 100% accurate and up-to-... ››› more
- [13 June 2017]
- How to calculate the fringe benefits of VAT on company cars
- One of the most common fringe benefits encountered on modern payrolls is the right to use a company car
Where an employee has the right to use a company car, you must calculate the VAT on the fringe benefit as follows:
Where the vehicle is a motor car (not a bus or kombi) and the input tax was specifically denied, the calculation is as follows:
0.3% x the determined va... ››› more
- [15 February 2017]
- Smartphones you give employees for private use are in fact fringe benefits! Use these four tips to calculate it correctly
- If there's one question I've seen floating around lately, it's whether or not smartphones, provided to employees for private use, are in fact considered fringe benefits.
Well, if you own or lease them, then the answer is yes, and so you need to make sure you treat them accordingly.
Here are the four tips you need to calculate it correctly...
We've made taxin... ››› more
- [17 August 2016]
- Make sure you levy VAT on company fringe benefits - or the SARS auditors will have a good reason to visit you!
- Did you know that fringe benefits, like the private use of a company laptop are actually taxable supplies?
Which means you HAVE to levy output tax on them! If you don't, you become an easy target for the SARS auditors. They know that very few employers are clued up about which fringe benefits are subject to VAT and which aren't.
Let's look at how to get your payroll 100% VAT compliant, so t... ››› more
- [01 April 2016]
- Is giving an employee a smartphone or tablet for their private use a taxable fringe benefit? Find out here
- Let's say you provide an employee with an asset (such as a cell phone, smartphone, tablet or laptop) for their private use, which you own or lease. In other words, you let an employee privately use an asset of yours for free, or for a very small fee.
If you do this, then the employee's use of the asset is a taxable fringe benefit. And it should be treated as such.
If you fail to do so, you'l... ››› more
- [31 March 2016]
- 13 Taxable fringe benefits you need to know
- Before you go ahead and reward an employee for their long service, you must know whether or not it's a taxable fringe benefit.
In other words, if it is in fact a taxable benefit, then you must hold back and deduct the appropriate amount from the employee's tax.
If you fail to do this, you'll face harsh penalties from SARS. So pay attention!
Here are 13 fringe benefits which you simply mus... ››› more
- [24 March 2016]
- 4 VAT tips you need to know
- VAT tips are something which employers are actively on the hunt for.
Finding that next little 'nugget' of knowledge can really make your VAT life a whole lot easier.
Well, you're in luck today!
As pointed out on Cents Accountability, here are 4 very interesting, and useful, VAT tips you should know...
If you claim input tax, your SARS VAT audit is impending... ››› more
- [23 March 2016]
- Is a company car a fringe benefit?
- Before you can file your tax return, you need to determine if the use of your car by an employee is a fringe benefit.
Take a look at the criteria below and if it's a fringe benefit it is subject to tax.
There is one formula you use to calculate the tax on fringe benefits. But there's one exception: Company cars. The tax calculation on this fringe benefit has an extra twist to it. Read on to fi... ››› more
- [21 July 2015]
- Will your payroll stand up to a SARS audit?
- Stop! Before you give your employee a loan or a gold watch for their long service, you have to be aware that these perks could be taxable fringe benefits.
This means your payroll must withhold and deduct the correct amount of employees' tax, or face penalties! And your staff will question the extra taxes on their payslips, if you haven't explained things correctly.
Read on to find out which... ››› more
- [15 July 2015]
- I deducted the tax on the fringe benefit, but now SARS is asking 'where's the Vat?'
- We recently received this question on the Accounting and Tax Club site.
Lucia, a business owner gave her employee and his family a weekend away to the Kruger as an employee incentive. She knew an incentive of this kind was a fringe benefit. And she dutifully calculated the tax and deducted it from her employee's payroll.
But when a SARS auditor came into her office for an unrelated Vat audit... ››› more
- [08 July 2015]