Anlo Financial Solutions - Chartered Accountancy In South Africa

Proper record-keeping is essential for accurate tax reporting and compliance with the Tax Administration Act and other relevant tax laws in South Africa. Maintaining accurate and complete records is crucial for a few reasons: It substantiates the information reported in your tax returns, It enables you to respond effectively to any queries or audits from SARS, and it provides a clear financial history, which is beneficial for personal financial management and planning.

We understand that the thought of a VAT audit can be daunting, but it needn’t be. With the right preparation and a thorough understanding of the process, it can be a smooth and stress-free experience.

In this blog, we will provide you with an overview of why a VAT audit happens in South Africa, what the process entails, and how we ensure that all necessary documents are ready and available from the start.

With the growing popularity of cryptocurrencies, it's crucial to understand how these assets are treated by the South African Revenue Service (SARS) and why you need to disclose them in your yearly tax return.

SARS requires that any income or gains from crypto assets, including digital wallets and crypto accounts, be disclosed in your tax return. This includes exchange tokens (such as Bitcoin), non-fungible tokens (NFTs), and utility tokens.

South Africa has a Dividends Tax regime, which taxes dividend income at a flat rate of 20%, regardless of the amount. One crucial aspect to keep in mind is that dividends are paid out of a company's profits after company taxes have been paid. In South Africa, the standard corporate tax rate is 27%. This means that before any dividend is declared, the company must first pay tax on its profits at this rate.