Do I qualify for Provisional Tax?

D

Dreamer78692

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Hi,

I earn about R 200 000 remuneration from the company I work in.

However, I tutor part-time, and I make about R 7000 a year.

Do I qualify for Provisional Tax??? :confused:

The conditions are:

ndividuals below the age of 65 who do not carry on a business and whose taxable income:
will not exceed the tax threshold for the tax year; or
from interest, dividends and rental will be R10 000 or less for the tax year.
Click to expand...

When they say taxable income do they include my remuneration or what I earn as a Tutor?

Any Help will be greatly appreciated.
 
If the students pay you cash I'd keep mum about it.
 
Unfortunately you are required to register for provisional tax as you do not meet the exemption criteria as stipulated in paragraph 18 (d) of the Fourth Schedule to the Income Tax Act. That is a bit rough isn't it?

I would approach SARS with your query and obtain an opinion from them as there may be a special case exemption which they can offer you to reduce the administrative burden given the relatively small amount that the tutoring contributes to your taxable income, in which case you only then have to declare it on your tax return.

I commend you for even bothering to raise this issue as most people will not even have realised that they may be required to register for provisional tax and with the amount of information sources SARS has at their disposal now, it is always prudent to get an opinion from them.

Just as a side note, with the advent of e-filing, provisional tax really isn't that much of a hassle and also due to the fact that this income is so insignificant, it is highly unlikely that you will attract any penalties on the underestimation of your income if you just take a little bit of care.
 
Use your paypal to import stuff. Problem solved.
 
complete your 2013 tax return and see what the outcome is. usually SARS will send you correspondence to say that they have registered you as a Provisional taxpayer.
 
SARS sucks with this efiling. When it was sent to me by post, I was up to date. Now I keep getting penalties of R250 as I am now on efiling. I just cannot remember the dates to file. No notice to do so.
Perhaps I should go back to the old postal system.
 
marco said:
SARS sucks with this efiling. When it was sent to me by post, I was up to date. Now I keep getting penalties of R250 as I am now on efiling. I just cannot remember the dates to file. No notice to do so.
Perhaps I should go back to the old postal system.
Click to expand...

Have you heard of these wonderful technologies called TV, Radio, eMail? or even a calender.

SARS always remind you over at least those 3 types of mediums to submit your tax, and I have a calender reminder every year in August to check my tax and submit if its ready.
 
marco said:
SARS sucks with this efiling. When it was sent to me by post, I was up to date. Now I keep getting penalties of R250 as I am now on efiling. I just cannot remember the dates to file. No notice to do so.
Perhaps I should go back to the old postal system.
Click to expand...

you have outstanding returns. this is an admin penalty. look on your latest IT 34 you will see what returns are outstanding.
 
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