SARS rant - yes, what's new?!

A friend of mine had a similar issue. She received a lumpsum in 2010 but it was exempted and no tax was assessed. 2011 was a normal year, and she was again assessed: R24 refund.

Now a few months later, she receives a demand for R10k in tax, no explanation and she asked for help. When I had a look, I realised they had reopened the 2010 return and reissued an assessment for that year with R10k tax due on the lumpsum.
 
Bundu said:
understood, but your auditor now seems to agree with SARS....
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No.

There are two issues - the issue re: the R24k PAYE we allegedly owe in order to get a tax clearance ... and the other issue re: the SARS SMS claiming we owe them R117k income tax.

The auditor agrees with the R24k PAYE, not the R117k.
 
blunomore said:
SARS alleged it was an underpayment .......... but was it really???? And why did it take them 3 year to figure it out??
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Might be that you don't owe them anything, that is the point. But it's because the Govt. really, really needs money and they are running over all the books with a fine comb. Probably took that long to get to you.

Bundu said:
I think Gnome meant that if she was your auditor when the under payment occured, she should have seen it then....
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Yep. Meaning she made the mistake. That or she doesn't care and therefore expects you to pay rather than figure it out. (which is what I meant happened to my Mom before). Not all auditors care for figuring out what's happening but they don't mind charging a fortune for their services.
 
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