SARS lifts tax return threshold from R350 000 to R500 000

surface

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#1

Odwa_M

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#2
Interesting. Can someone in the know please enlighten me on this, if you have a medical aid and provided fund, but still earn < 500K PA, can you still submit a return?
 

DreamKing

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#3
Interesting. Can someone in the know please enlighten me on this, if you have a medical aid and provided fund, but still earn < 500K PA, can you still submit a return?
SARS explained that taxpayers who meet the following criteria will not need to file returns.

  • Their total employment income for the year before tax is not more than R500 000;
  • They only receive employment income from one employer for the full tax year;
  • They have no other form of income, such as car allowance, business income, rental income, taxable interest or income from another job; and
  • They don’t have any additional allowable tax related deductions to claim, such as medical expenses, retirement annuity contributions and travel expenses.
 

rambo919

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#5
It's VERY dangerous to stop filing, ten years down the road you need tax clearence for something but don't have all the required supporting documents any more... you end up owning SARS lots and lots of money. And you can't just request it always, many companies don't keep records past 5 years.
 

thechamp

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#7
Interesting. Can someone in the know please enlighten me on this, if you have a medical aid and provided fund, but still earn < 500K PA, can you still submit a return?
Yes, as Dreamking has highlighted.
 

DreamKing

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#8
It's VERY dangerous to stop filing, ten years down the road you need tax clearence for something but don't have all the required supporting documents any more... you end up owning SARS lots and lots of money. And you can't just request it always, many companies don't keep records past 5 years.
true, better to submit your return no matter how much you earned.

you are liable to pay penalty to sars for not less than R250 / submission + interests. ;)
 

Odwa_M

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#12
SARS explained that taxpayers who meet the following criteria will not need to file returns.

  • Their total employment income for the year before tax is not more than R500 000;
  • They only receive employment income from one employer for the full tax year;
  • They have no other form of income, such as car allowance, business income, rental income, taxable interest or income from another job; and
  • They don’t have any additional allowable tax related deductions to claim, such as medical expenses, retirement annuity contributions and travel expenses.
I read the article, I just need clarity on this : By medical expenses, do they mean medical aid or medical expenses paid for in cash?

Secondly, can a provided fund be considered as a retirement annuity in this sense? I think they are differnt, but I stand to be corrected?
 

DreamKing

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#13
I read the article, I just need clarity on this : By medical expenses, do they mean medical aid or medical expenses paid for in cash?

Secondly, can a provided fund be considered as a retirement annuity in this sense? I think they are differnt, but I stand to be corrected?
except your basic income, any other thing that you will need to put in your return, you need to file.

is that better? :)
 

Nanfeishen

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#14
It's VERY dangerous to stop filing, ten years down the road you need tax clearence for something but don't have all the required supporting documents any more... you end up owning SARS lots and lots of money. And you can't just request it always, many companies don't keep records past 5 years.
This ^^^^^ 100%
Always file no matter what they say.
 

Pitbull

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#16
I see loads of people cheering and jumping up and down...

This is actually in SARS's favor. If you don't submit your deductibles they get more. Every smart person will submit, even if they only get R 60 a year even.
 

rambo919

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#19
I read the article, I just need clarity on this : By medical expenses, do they mean medical aid or medical expenses paid for in cash?

Secondly, can a provided fund be considered as a retirement annuity in this sense? I think they are differnt, but I stand to be corrected?
Medical paid out of pocket only applies if you have medical aid, without medical aid the calculation becomes R0 no matter what.

Basically ANY income that is not already pre-taxed in some way.... this includes bank interest.
 
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