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How We Can Help with Your Company’s Tax Returns in South Africa

If you have just started a business and are still new to company tax returns, you will appreciate our extensive range of tax and accounting services. We handle annual individual and company tax returns, tax queries at SARS, import and export licenses, tax clearances, tax registrations, and provisional tax returns. We also provide tax structuring and calculation services.

Let us look at some important basics to help you get started on the topic of company tax returns.

 

Registration

When you register a business in South Africa, you also register for tax. Indeed, the law requires that you must register the business for tax within 60 days of the start of business operations. It is done via the completion of the IT77 form. The business must be registered with CIPC to get a reference number and will then automatically be registered for tax. We can assist you with the process. You may also need to register for VAT and PAYE, as well as UIF contributions, in addition to SDL and Customs & Excise. It will all depend on whether your company has employees, whether you are involved in imports or exports, and what your company’s annual turnover is.

 

Taxes Payable

You will be a provisional taxpayer and must register for such within 30 days from becoming eligible as a provisional taxpayer if you are a sole proprietor. If you own a limited liability company, it will automatically be registered as a provisional taxpayer. You will make two payments to SARS per year and as such, you will submit two company returns a year with the one being the annual company tax return. You can make a third tax payment after the end of the company’s tax year.

The first payment is made within six months of the start of the tax year and the second payment is made on the last day of the particular tax year. If you make a third payment, it is made within six months after the last day of the tax year. If your company’s tax year ends on the last day of February, you have seven months within which you must make the third optional payment.

In addition to the above, you will deduct employee tax from the salaries of the employees and will need to pay the deductions to SARS every month. Payroll taxes can be complex, which is why it is best to acquire professional help from our experienced tax consultants. You will also need to pay director remuneration taxes if you are a director of a private company. There is a specific formula in place to determine the monthly employee tax deduction regarding such.

Your company tax returns must be accurate and on time. In this instance, you will appreciate our professional assistance to ensure full compliance with SARS regulations. Let us help you to manage your company tax returns, while you focus on running the business. Give us a call to discuss your particular tax service needs.