Category: South Africa – Tax

The South African Revenue Service (SARS) offers the Voluntary Disclosure Program (VDP) as a legal pathway for taxpayers to rectify past non-compliance, including undeclared income, omitted assets, or incorrect tax returns. Utilizing the VDP can help taxpayers avoid criminal prosecution...

Read More

SARS has several mechanisms to ensure tax compliance: verification, audit, and investigation. Each serves a different purpose and has distinct processes, impacts, and taxpayer rights. Understanding these differences and your rights during each phase is crucial to protecting yourself and...

Read More

The gig economy and side hustles are booming in South Africa, providing flexible income opportunities for many individuals. However, as these businesses grow, understanding when and how to register for Value-Added Tax (VAT) becomes crucial to stay compliant with SARS...

Read More

Social-security benefits such as Unemployment Insurance Fund (UIF) payouts, Compensation for Occupational Injuries and Diseases Act (COIDA) claims, and other related social-security payments provide vital financial support to South African workers during periods of unemployment, injury, or illness. However, the...

Read More

The Unemployment Insurance Fund (UIF) provides financial support to workers who become unemployed, are unable to work due to illness, maternity, or adoption leave, or face other qualifying circumstances. Understanding UIF contributions is especially important for employers of domestic and...

Read More

Trusts are widely used in South Africa for estate planning, asset protection, and tax management. However, due to their potential for tax avoidance, SARS has implemented strict anti-avoidance rules governing trust income and distributions. Understanding these rules is crucial for...

Read More

Travel allowances and company cars are common employee benefits in South Africa, but they come with specific tax implications under SARS regulations. These benefits are classified as fringe benefits and attract fringe benefit tax, which affects both employers and employees....

Read More

Tax-Free Savings Accounts (TFSAs) are a powerful savings tool offered by the South African government to encourage individuals to save and invest without worrying about tax on growth or withdrawals. Understanding the contribution limits, rules, and strategies to maximize benefits...

Read More

Determining your tax residency status is a fundamental step in understanding your South African tax obligations. SARS uses two primary tests to establish whether an individual is a tax resident: the Ordinary Residence Test and the Physical Presence Test. Each...

Read More

Employer-funded bursaries and scholarships are common benefits provided to employees or their dependents to support education and skills development. However, these benefits have specific tax implications under South African tax law. Understanding when bursaries and scholarships are taxable, how they...

Read More