Provional Tax

[hennievr]

An issue that has always bugged me and I want to have a go myself at this and not just hand it over to the accountants - being money wise here.

Provisional tax for companies:

1. The IRP6 ask for turnover: Is this turnover before any deductions and cost of sales?
2. Estimated taxable income: Is this taxable income on turnover or after cost of sales and deductions?
3. Tax on estimated taxable income: Is this the table I look at that has the 0-R160000 - 18% and so on?
4. How do I calculate that 18%? Is it +18% for every R1 or x 18% for every R1?
5. On my form it says last assesment 2007 but I do this every 6 months. How do I get the assesment up to date because as I read it there is some 8% calculation on these years if assesment is going back that far?

Your professional answers would be appreciated.

Hennie

 

[KalMaverick]

1. Total sales, so no deductions.
2. Taxable income = Income less deductions, so sales after all your deductions.
3. Your a company, so it would be 28%. The table you looking at is for individuals.
4. Taxable income * 28%

 

[MVE]

Last assessment is normally the last yearly income tax return submitted.

 

[bilal786]

and deadline for 2013 1st provisional tax is over, The deadline was 31 August.

5. For every year from your last tax return submitted IT 14 add 8% to the basic amount till 2013 year

 

[Celine]

which one are you doing first of all? your personal one or one for the company?

 

[jonathanwills]

Nice post. I would like to say that the psychological benefits of a low turnover portfolio are greater than the tax benefits.