- Take advantage of these 12 assets excluded from Capital Gains Tax
- Every time your business sells, donates or scraps an asset and it makes a profit, SARS takes a big bite out of the proceeds. And it calls this bite Capital Gains Tax (CGT).
SARS raised the CGT rates in the February 2017 Budget Speech. This means any asset sales you make after this date will cost you more.
You can't escape CGT. In fact, if you try to escape it, SARS could easily find you gu... ››› more
- [01 March 2017]
- How to make sure your travel allowances stand up to SARS' scrutiny
- Travel expense claims and deductions are one of the most common triggers for a SARS audit.
Especially for travel allowances. SARS differentiates between a Travel Allowance and a Reimbursive Travel Allowance.
If you don't award, tax, and record your staff's travel allowances correctly SARS will pick up the errors and audit you.
You might have to pay a 10% penalty for under-deducting PAY... ››› more
- [23 February 2017]
- SARS Audits: Know your rights
- Is there anything worse than the moment when you open that letter from SARS, 'kindly advising you' they're arriving next week to audit your business?
Don't panic! There are set rules and procedures that the SARS auditors MUST follow, to protect your rights even while it audits your business. Here are nine things you should know and put into practice now.
Statistics show: Your... ››› more
- [22 February 2017]
- Two businesses? And only one is making a profit? Use this escape hatch to pay less tax
- You may think your only option is to close down the company that isn't making a profit. But don't be too hasty with your decision.
There's an escape hatch you can use.
Let's see if you qualify for it and how you can use it to pay less tax and save this company from closing down. ************* Advertisement *************
Meet the ultimate tax-bill slasher...
Over 31 different tax brea... ››› more
- [09 February 2017]
- The tax compromise process is very simple, the challenge comes in when you prepare for the execution
- A tax debt compromise is a request you make to SARS asking it to 'park' your outstanding tax debt if you're financially distressed.
By parking the debt, SARS agrees not to demand payment. It treats your debt as no longer due and payable. Whether it parks all or only part of your tax debt depends on your financial circumstances and how much it can realistically recover.
If you're thinking '... ››› more
- [02 February 2017]
- Do you know how to tax your company cars in these five unusual scenarios?
- Before you decide to hand your exec the keys to a company car, you need to know how to treat the use of this car on your payroll.
If you don't know when and how to tax the use of the car, you could end up underdeducting PAYE.
And a 10% penalty from SARS is inevitable.
Especially in the following five unusual scenarios... **************Best Seller***********
The company car. An employ... ››› more
- [27 January 2017]
- The one document that will protect you from a SARS field audit
- A notification from SARS lands in your inbox. You're being audited. And not just any audit. A field audit...
So what now?
Well, ordinarily, you'd have to stop everything you're doing and prepare for your audit.
Look for documents, pull your finance team away from their busy workload, just to make sure you have everything ready for SARS when they pitch up at your door.
But wait... You d... ››› more
- [19 January 2017]
- Two ways to reduce your capital gains tax when you sell an asset
- Every time your business sells, donates or scraps an asset, for gain, SARS takes some of your money as capital gains tax. And this chunk gets bigger every year.
In 2015 if you sold an asset you would have paid 18.65% tax on it.
In 2017, the current tax year, you stand to pay 22.4%.
That's a 3.75% increase in just one year.
Let me put that into perspective for you and show you a way to ... ››› more
- [19 January 2017]
- Sole Proprietors listen up! If you write a 1 on your tax return instead of a 16 you'll pay more tax
- One of the most common mistakes sole proprietors make on their tax return is reflect their income under code 3601.
Yes, code 3601 is the correct code for regular income. But under this code, SARS will tax you (sole proprietors) in full, with very few deductions.
Let's look at the right code you should use...
Put all your income and expenses under the correct section on your tax return!
... ››› more
- [19 January 2017]
- How to create a SARS-proof travel logbook in three simple steps
- When it comes time to hand in your tax return, SARS wants you to prove certain details with supporting documents.
A great example of this is a logbook. You'll use this to prove the deductions you want to claim for your business travel expenses. This is an important deduction for most business owners as rushing to all those client meetings can really add up.
Luckily, it's easy to create an a... ››› more
- [10 January 2017]