Anyone who needs TAX / Accounting Advice

[mummy60]

Hi, My problem is with the sarsefiling site.I accidentally ran my mouse over request for historic data on the provision tax which I had returned last year. this somehow saved as version 2 and is sitting as saved not filed. I am concerned as this has a figure in that was paid last year and is incorrect for this year. I have today submitted my correct provisional tax for 2012-1 but I cannot remove the saved one which is on last years form (last years date) but showing as due 25.11.2011.

RETURN TYPE STATUS DATE DECLARED AMOUNT VERSION LAST UPDATED BY
IRP6 Filed through eFiling 2010/08/26 3557.46 version1

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IRP6 Saved 2011/08/02 3557.46 version 2
I have contacted SARS 3 times and been given 3 different answers, none of which will work. can anyone help please?

[Mike Simmonds]

1. Check the Provisional Statement of Account to confirm that SARS has received your return.
2. Confirm that the payment is showing in the Payment History section.
3. If both of these are in place, ignore the saved return.
4. Give SARS a call and confirm receipt of return and the payment.

[geraldenek]

mummy 60 - to get rid of the return just sitting there - i would normally say submited manually - as this has been already submitted. SARS has never had a problem with this and clients stuff is up to date.

[confused]

Hi there. I need someone to help me out please. I'm terribly confused and this is really stressing me out. I have no idea how this tax thing work. All I know is that the employer is responsible to deduct PAYE from an employees salary and that it is the employer's responsibilty to register the employee for income tax etc? I have been unemployed for the last few months, but before I was retrenched my tax was deducted from my salary. I also noticed a PAYE no on my pay slip. Is that my registration no? I have never earned above R120 000 a year and therefor have never done returns and from what I read you only register for income tax if youre have to do tax returns. So what if I start a new job, do I keep the same PAYE no, am I already registered for tax, or does the new company have to register me again. Is it my responsibilty to register for income tax or the employer's? Also, what happens if I was to be employed as an independent contractor? obviously with no contract the employer is not liable to deduct PAYE until I sign a contract stating a monthly salary. but does this put more stress on me? if i was to still earn less then R120 000 a year as a independent contractor, no need to do tax returns nor register? Please confirm, I'm highly stressed out about all this. Thanks.

[Mike Simmonds]

Hi Confused, welcome to the forum.

It is your responsiblity to register for Income Tax. The PAYE reference number belongs to the employer. Independent Contractors do pay PAYE, or at least the Employer should make PAYE deductions.

[confused]

Thanks. So even if you work at a retail store like music or cna or cardies you still have to register for income tax? I don't understand how it is my responsibility since I heard from allot of people that it is nothing I need to be concerned about, the employer has to register me, deduct the tax and make sure sars gets it. I'm sure many of my friends hasn't personally gone to register, it's the employers responsibility or so I've been told. Also when are you suppose to do tax returns? Surely it's not necessary if your income is less then R120 000 a year and your interest on savings/investments are below the threshold as an employee or independent contractor?

[Mike Simmonds]

SARS Wzard for Registration

http://www.sars.gov.za/Wizard2011/Wizard.htm

Try this wizard, it should answer quite a few of your questions in terms of registration

[mummy60]

Thanks again Geraldene
Is it possible to get help with this? A provisional taxpayer with rental income only and approx R400 bank interest per year.has left South Africa to work overseas.He didn't apply for tax clearance as he was not sure whether he would stay overseas. He now plans to stay overseas 3 years or longer. What should be done? Can he apply on line for this? Also do his overseas earnings have to be declared as Rands and does he have to apply for foreign tax credits for his overseas tax paid? Or do his earnings not have to be declared as he has paid tax overseas? Would he be classed as a dual resident? Will he have to surrender his South African ID and passport? Also as this is his 1st provisional tax form for rental income does the amount go in the estimated taxable income column and does he leave the individual rebate of R10260 showing on the provisional tax form?Sorry to ask so many questions but this friend really needs help. i'd be grateful for any help you can give.

[Slippy]

Thanks. So even if you work at a retail store like music or cna or cardies you still have to register for income tax? I don't understand how it is my responsibility since I heard from allot of people that it is nothing I need to be concerned about, the employer has to register me, deduct the tax and make sure sars gets it. I'm sure many of my friends hasn't personally gone to register, it's the employers responsibility or so I've been told. Also when are you suppose to do tax returns? Surely it's not necessary if your income is less then R120 000 a year and your interest on savings/investments are below the threshold as an employee or independent contractor?

Employer has to be registered themselves, employees have to register their own selves. employer will pay the tax to Sars on behalf of employee, thereafter it's between Sars and employee.

[Dave A]

employees have to register their own selves.

Actually, with e@syfile the employer can register the employee for income tax - and most times quite easily too.

But it does the beg the question - is the employer responsible for registering the employee for income tax nowadays?

Perhaps a moot point - I'm not sure it's even possible to do the PAYE recon returns if there is anyone in there without an income tax number - so at the very least the employer is lumbered with driving the process.

Businesses really have been made an extension of SARS nowadays

[Mike Simmonds]

Perhaps a moot point - I'm not sure it's even possible to do the PAYE recon returns if there is anyone in there without an income tax number - so at the very least the employer is lumbered with driving the process.

Businesses really have been made an extension of SARS nowadays

Dave it certainally is possible to perform a recon without having tax numbers for employees, the registration process is as a result of these recons. SARS has all the employee info as soon as you have submitted the return.

SARS would not register someone for Income Tax unless they had a personal bank account and proof of residence, but done via the EMP501 system, there is no verification. Reminds me of the times when one could get a VAT number over the telephone in around 15 minutes

SARS has very cleverly made businesses responsible for doing all the data capturing that prior to 2007 was their responsibility. As stated elsewhere on the forum, SARS doesn't even pre-populate the returns anymore

[mummy60]

Is it possible to get help with this? A provisional taxpayer with rental income only and approx R400 bank interest per year.has left South Africa to work overseas.He didn't apply for tax clearance as he was not sure whether he would stay overseas. He now plans to stay overseas 3 years or longer. What should be done? Can he apply on line for this? Also do his overseas earnings have to be declared as Rands and does he have to apply for foreign tax credits for his overseas tax paid? Or do his earnings not have to be declared as he has paid tax overseas? Would he be classed as a dual resident? Will he have to surrender his South African ID and passport? Also as this is his 1st provisional tax form for rental income does the amount go in the estimated taxable income column and does he leave the individual rebate of R10260 showing on the provisional tax form?Sorry to ask so many questions but this friend really needs help. i'd be grateful for any help you can give.As today is the last day for provisional tax filing hoping I can get advice on this one.

[confused]

Ok, so if I was to start doing work for a start off company as an independent contractor because the owner is not sure whether the business will be a success and therefore does not want to pay me a salary and without signing an agreement or contract and I get only one month's pay (on work done, not on outstanding work) due to the business not going ahead anymore, do I need to register as a provisional tax payer/do tax returns?? For example that is all I get and I'm fortunate enough to be employed by another company as a employee, did I have to go through the trouble of registering as a provisional taxpayer? What are the exemptions for taxpayers not having to register as provisional taxpayers/filing returns?? Thanks for the help.

[Dave A]

Will he have to surrender his South African ID and passport?

About the only guidance I can give with some confidence is he won't have to surrender his SA ID or passport merely on the basis of currently being resident overseas.

I also don't believe the failure to obtain a tax clearance has any bearing on the SA tax implications of him being currently resident overseas.

[mummy60]

Hi Dave, thanks so much for that, do you maybe know if as this is his 1st provisional tax form for rental income does the amount of the rental income go in the estimated taxable income column and does he leave the individual rebate of R10260 showing on the provisional tax form? Time is running out, almost the deadline. Thanks so much for your help