Sars has changed the rules for tax returns in south africa. Tax season 2019 officially started on monday july 1 for south african taxpayers who use filing and the sars mobiapp, the sa revenue service said on monday morning. Tax practitioners, whose primary filing channel is efiling, are using branches to file taxpayers returns. Prior to 2001 the south african tax system was sourcebased, wherein income is taxed in the country where it originates. The tax season for 2019 opens on1 august 2019 for branch filers and 1 july 2019 for efilers. Tax season kicks off on july the first and the south african revenue service, sars, is encouraging people to get their documents in order to avoid. The rebate is not reduced where a person has taxable income for less than the standard south african tax year. Sars has just shortened its deadline for tax returns. South africa revenue service announces 2018 tax filing. The south african revenue service begins tax season for individuals on the 1 july each year with tax season usually closing the last friday of november of the same year. On monday, 4 june, acting sars commissioner, mark kingon, announced that the 2018 tax filing season will open on 1 july 2018, but will be shorted by three weeks. South african budget 201819 south african tax guide. The individual would also be required to declare the r1.
On monday, 4 june, acting sars commissioner, mark kingon, announced that the 2018 tax filing season will open on 1 july 2018, but will be. Maggie ntombela on filing tax returns with sars youtube. Yesterday marked the official launch of the 2015 tax season with the welcome news the threshold for submitting tax returns has increased to r350 000 from r250 000. The tax season, when people are required to submit their tax return forms, is from july to. South africa s tax season for individuals officially opened on sunday for efilers. Jun 04, 2018 the south african revenue service sars has announced that it will be reducing the amount of time you have to file your returns next tax season.
I advise that all taxpayers understand the requirements set out by sars. The rebate is given against the tax calculated and not against. Sars has changed the rules for tax returns in south africa heres. The taxpayer could accept this outcome or update the return and file. The following tax rates, thresholds and allowances are valid for the 2017 2018 tax year in south africa which is known as the 2018 tax year. The 2019 year of assessment commonly referred to as a tax year runs from 1 march 2018 to 28 february 2019. Every year the sars announces the opening of the filing season and the relative deadline dates for the submission of tax. The us and south africa have a tax treaty that can offer taxpayers additional benefits. Employers need to register employees for income tax online, read more.
South african budget 201819 downloadable pdf documents. Tax season 2019 officially started on monday july 1 for south african. With over 58 million people, it is the worlds 24thmost populous nation and covers an area of 1,221,037 kilometres 758,717 mi. Sars tax filing season official opening pt2, 02 july 2018. Sars has sent personalised and direct communication to taxpayers who may not have to submit a return, based on information submitted during. As tax season kicks off, heres what you need to know fin24. The south african revenue service sars has proposed shortening the annual filing season in 2018 by almost a month. However, in a departure from previous tax years, only the first r1million will be exempt from income tax in south africa.
The 2018 tax season, which starts on july 1, will be 18 business days shorter than usual to allow more time for verification prior to the december holiday period. Budget speech by the minister of finance 21 february 2018. This covers the income earned from 1 march 2018 31 august 2018. Tax return threshold increases to r500 000 but there are catches its not often that tax and good news appears in the same bracket for south africans, but sars have announced. The announcement of the shortened filing season, aimed at improving efficiency, allows additional time for sars, taxpayers and the tax fraternity in.
Corporate income tax cit, also known as a business tax, is a tax imposed on businesses incorporated under the laws of the republic of south africa and which derive income from within the republic or through a branch or permanent establishment within the republic. How to file your tax returns using efiling and sars new. Certain forms of income are exempt from tax in south africa. Be it purchase, sale or commencement of a lease, it is important to consult with a tax specialist when entering into a transaction to ensure that the tax. The tax season for 2019 opens on 1 august 2019 for branch filers and 1 july 2019 for efilers. You cannot enter a date for 1 january 2017 for your 2018 tax return because the 2018 tax year only started on 1 march 2017. The 18 biggest mistakes you can make on your tax return this year.
The south african revenue service says the tax filing season has been. Every year, sars announces its tax season, a period during which you are required to submit your annual income tax return. Taxpayers who are eager to claim a tax refund should note that tax filing season opens on july 1, which means that your return will be available on the efiling website. Sars efiling is a free, online process for the submission of returns and declarations and other related services. This is the first tax season since the new tax law went into effect, the most significant change to the us tax code in 30 years. Provisional taxpayers have until 31 january 2020 to file via efiling. In the past, nonprovisional tax payers, submitting their tax returns via efiling, had until the end of november to do so. The tax season, when people are required to submit. Tax season is the period in which taxpayers must complete and submit their tax returns to sars. The revenue collection agency also announced it had implemented enhancements and changes for the season. If calling from within south africa, contact the sars contact centre on 0800 00 7277 only between 8. The south african revenue service sars has announced a number of changes ahead of the start of the 2019 tax season. A covid19 lockdown collective agreement has been entered into between the apparel and textile association of south africa, the south african apparel association and the southern african clothing and textile workers union.
Residents who pay taxes in south africa have to fill in an annual tax return form and submit it to sars. South african revenue service sars has just opened the tax season for. If you earn an income or salary before tax for the year march 2017 to february 2018 was not more that r350. How to file your income tax return in south africa. Botha also said that the notice does not apply to expatriates working outside sa. Budget tax guide for 2018 for the 2019 year of assessment. Wednesday october 31 marked the close of the 2018 tax season for nonprovisional taxpayers.
How to file your income taxes in south africa expatica. March 2017 to february 2018 before tax gross income was not more than r350,000. Tax season opens on 1 july iol news that connects south. A total of 235518 returns were filed on the deadline day the south african revenue service sars. Last day to submit the third provisional payment for the 2017 tax year.
We offer a tailored approach to every client, give practical and. Nonprovisional single source income taxpayers will have less time to submit their tax returns. Tax season is now open here are the major changes and tips. Jul 02, 2018 sars tax filing season official opening pt2, 02 july 2018. Tim uses your answers to complete your income tax return instantly and professionally, with everything filled in in the right place. Tax filing season starts for all taxpayers on august 1, 2019. A shorter filing season allows additional time for sars, taxpayers and the tax fraternity to deal with returns verifications before most taxpayers go on the december. I will be illustrating the buildup of a itr14 tax return itr14 using sky tax. Sars has just shortened its deadline for tax returns heres. Regus business centre 1st floor, block b, north park, black river park, 2 fir street. Jun 06, 2018 the 2018 tax season, which starts on july 1, will be 18 business days shorter than usual to allow more time for verification prior to the december holiday period. The south african revenue service sars has announced the filing deadlines for the 2018 year of assessment for individuals.
Sars staff go the extra mile as 2018 tax season draws to a. To skip the queues and taxpayers were allowed to start filing via efiling and mobiapp from 1 july 2019. Us tax service for americans in south africa us expat. Dividends are tax exempt if the beneficial owner of the dividend is a south african company, retirement fund or. Your 2018 tax return will have these 5 changes business.
Sars does not require a person to have a tax number when employed for the first time. Pocket tax guide for 2018 2 pages and ideal for printing. Tax residents can make the following deductions from their taxable income in south africa. The sa revenue service has introduced staggering filing of tax returns for. Sars definitely improving their service, they have realised there is a mad rush once the tax season starts so they have started early with their notifications. Tax calculator 2020 income tax calculator south africa.
Tax season 2019 started on 1 august 2019 for nonprovisional individuals. The south african revenue services sars decision to shorten the 2018 tax season by three weeks will put pressure on tax practitioners, and may even result in penalties for taxpayers. How rwanda is becoming the singapore of africa duration. Make tax season in july quick and easy with taxtim.
Mar 01, 2020 the 2019 year of assessment commonly referred to as a tax year runs from 1 march 2018 to28 february 2019. Tax, vat, customs and trade alerts pwc south africa. Season opens to submit 20172018 individual annual income tax returns. Sars has listed the below criteria for people who do not need to submit a tax return. The tax year is named by the year in which it ends e. South africa revenue service announces 2018 tax filing deadlines for individuals nonprovisional single source income taxpayers will have less time to submit their tax returns.
If you are uncertain whether you should file a return or not, then it is recommended that you file a return. Try a simpler alternative to sars efiling taxtim asks simple questions onebyone then fills in your tax return for you instantly. Mar 01, 2017 2017 2018 tax rates 1 march 2017 28 february 2018. As a result, most individual taxpayers will have to submit their returns by october 31, 2018. We serve corporate, individual and trust clients across south africa, into africa and the rest of the world, as they navigate an increasingly complex tax regulatory landscape. Arguably the biggest change made is that taxpayers who earn below r500,000 are. Sars has improved efiling and the mobiapp with several exciting innovations for tax season 2019 to make it simpler and more convenient for taxpayers to file an income tax return. South africa, officially the republic of south africa rsa, is the southernmost country in africa. A taxpayer might find themselves forfeiting a refund by not submitting a return, he said. But you must file a tax return with the internal revenue service to qualify for these benefits.
We have recently launched a new dynamica itr14 return as part of the. Tax practitioners and industry bodies expressed concern about the pressure on. The 2018 tax filing season will now start on 1 july 2018 for efilers, while the sars branches will assist taxpayers from 2 july 2018. The south african revenue service sars said on monday that the tax filing season, which kicks off on july 1, has been shortened by three weeks, in a bid to improve efficiency. Your deadline to file your tax return just got a lot shorter. Since january 2001, the tax system was changed to residencebased wherein taxpayers residing in south africa are taxed on their. Those registered for efiling can file returns from july 1, 2019. Companies are required to submit their annual income tax returns within 12. Rates of tax for individuals south african revenue service.
South africa revenue service announces 2018 tax filing deadlines for individuals new. Tax threshold allowance of r79,000 r122,300 for those aged 6574 and r6,750 for those aged 75 and over. The south african revenue service sars has shortened the annual tax filing season by three weeks, but has taken steps to prevent its branches from buckling under expected congestion. Oct 12, 2018 look for the year of assessment field at the top of your irp5 this will tell you the tax year. The filing season will end on october 31 for nonprovisional taxpayers. Our tax professionals deliver a wide range of fully integrated tax services to clients around the world. On the flip side, taxpayers need to make sure that they do not miss out on getting a tax refund, thamsanqa msiza, tax consultant at tax consulting south africa told fin24 by phone. How is interest paid to a nonresident from a south african source taxed. For the period march 1, 2018 to february 28, 2019, the amount was r78. If a lessor owns at least 5 new and unused residential properties situated in south africa, the taxpayer will be allowed to claim an allowance of 5% of the purchase price as a deduction.
In this regard, tax season for individuals was opened by sars from 1 july 2018. Work out how big your tax refund will be when you submit your return to sars. Jun 04, 2018 the south african revenue service sars said on monday that the tax filing season, which kicks off on july 1, has been shortened by three weeks, in a bid to improve efficiency. Sars tax year 2020 starts 1 july 2020, are you ready. South africa blue sky publications pty ltd ta thesouthafrican number. The provisional tax season is now nearly over and we now need to concentrate on tax return production in our build up to the year end deadlines. These are set out in section 10 of the 1962 income tax act south africa. As long as you are tax resident you must file a tax return and claim a tax exemption, he said.
Lockdown collective agreement for the textile industry. The commissioner for the south african revenue service sars. Sars staff go the extra mile as 2018 tax season draws to a close. The south african revenue service sars has encouraged taxpayers to submit income tax returns via the sars efiling or the sars mobiapp when the tax season commences on 1. The tax year is different from a normal calendar year, which runs from 1 january to end december. Jun 05, 2019 the south african revenue service sars has announced a number of changes ahead of the start of the 2019 tax season. Tax season 2019 for individuals tax season 20192020. Dividends tax is a final tax at a rate of 20% on dividends paid by resident companies and by nonresident companies in respect of shares listed on the jse. Global edition is a free, personalized email subscription service that allows you to receive ey global tax alerts, newsletters, events, and thought leadership published across all areas of tax. Taxation may involve payments to a minimum of two different levels of government.