There are various types of taxes. take an overview on some of the more significant tax types that may apply to you or your business.
All individuals and companies who earn an income are liable to pay income tax on the salary they earn or the profits the company retained during the year of assessment.
All taxpayers are required to submit the tax returns to SARS on an annual basis. In some instances a taxpayer may get a refund from SARS.
Tax returns can be submitted via 3 channels:
- Filling at a SARS branch (Locate your nearest branch), or
- by requesting a manual form, completing it and submitting it to SARS via mail or at the drop box at your nearest branch.
Failure to submit your tax return may result in administrative penalties.
Read more about:
Value added tax (VAT)
VAT is an indirect tax levies on nearly all supplies and goods we use on a daily basis.
It is not compulsory for a company or individual to register for VAT unless their turnover exceeds R1 000 000 in any year of assessment. A company or individual may voluntarily register for VAT if they meet the qualifying criteria.
There are some basic food products that are subject to VAT a 0%
Employees tax (PAYE) is similar to a provisional tax. Both these taxes are deducted in advance to make provision for your annual tax liability. Employees tax is deducted on a monthly basis from employees’ salary.
Turnover tax is a simplified tax system for small business enterprises. The tax is levied on the company’s turnover rather than the company’s profit or loss.
The country’s tax legislation is constantly changing. We are committed to stay current with all taxes and how they may impact you or your business.