Tax filing season is upon us again.
“Why should I bother checking my auto assessment tax return? It must be right.”
Please don’t be fooled. Often SARS have the incorrect info and you may be able to get back more than you expected. If you have to file your own assessment then please also remember that your accountant is probably only being paid to submit your return, not to give you tax advice to same money. If you want great tax saving advice then give us a call today.
Tax Filing Season
It is once again that time of the year when you have to submit your tax return to SARS. They have recently announced that the filing season officially opened on the 15th off July 2024. The submission deadline for non-provisional taxpayers is 21 October 2024 while provisional taxpayers have until 20 January 2025 to submit their return, please bear these dates in mind in order to avoid any unnecessary non-compliance late submission penalties.
SARS are in the process of issuing auto-assessment notices from the 1st of July until the 14th of July. SARS have confirmed if you agree with the assessment, you no longer have to accept the assessment and any refunds due to you will be refunded automatically. If you are not in agreement you will have to submit a return to correct the error by the normal filing deadline date.
If you receive an auto assessment which does not include some of your taxable income, we advise that you resubmit your return as SARS could still raise the additional tax along with penalties and interest in the future if they become aware of the undisclosed income. This is often the case if you work overseas, work for a foreign company while residing in South Africa, have foreign income or have an additional income stream that is not earned through employment such as a sole trader business.
If any of the above cases apply to you and you are unsure if you are submitting your return correctly and as tax efficiently as possible then it is definitely worth your while booking a consult with us. We can advise on whether you are claiming all of the available deductions and exemptions that would reduce your taxable income or how this could be structured in the future. This is especially relevant if you are working overseas or have foreign income as there are several exemptions and reliefs available to you such as the foreign employment exemption, possible double tax agreement relief and ceasing tax residency.
Dealing with SARS can be a treacherous process from submission of your return, SARS verifications and all the way to objection or appeal if required. If you need assistance when dealing with SARS, we can assist you throughout the process.
Written by Graham Smith, Global Tax Advisor