If you are registered as a company or sole proprietor in South Africa, you can choose to pay either standard small business income tax rates or elect for turnover tax. Turnover tax is a simplified tax rate aimed at reducing administration for small businesses with an annual turnover of less than R1 million. If your turnover goes over R1 million, then you will need to register for VAT and pay tax on the standard tax rates.

You can be registered for turnover tax and also be registered for VAT (voluntary registration).

To make record keeping easier, the turnover tax system automatically estimates a company’s business expenses when calculating taxable income. This means businesses registered for turnover tax don’t need to track and report their tax-deductible expenses.

In May we celebrated Esmeralda’s birthday the Anlo way, with lots of cake, sparkles and love! If you ask her, she is 37 years old but to us, she doesn’t look a day older than 21, but with the wisdom and leadership of a life well lived. Thank you Esi, for everything you do and here is to another wonderful year for you.

We also raised money for slipper day at Anlo and here is a photo.

Annja and Roulon recently went to Accountex in London and it was amazing seeing the new developments that have happened since 2019, when we last visited. Regulations and governing bodies have made compliance for accountants stricter, but the standard of the accounting qualification is just getting better.

Now more than ever, the focus is on accountants helping businesses grow and helping the economy recover from what has been a very long hard period in everyone’s lives.

Esmerelda and I recently took ourselves on a week sabbatical to Dubai with our little girls, and it was AMAZING! Thank you to everyone that was patient with us during this time. We planned this break probably a year ago, with the hope that it will give us something to look forward to, and because of COVID and everything we kind of forgot about it because there was a chance we could not go, and we did not want to get our hopes up.

But we did manage to go, and it was so definitely needed. The break from the routine that has become a burden over the last 2 years was exactly what the doctor ordered. We swam in the sea and talked about the business’s future, about our hopes and dreams for ourselves, our families, and our business.

Written with Roulon du Toit

During the 2020 Budget Review, the government indicated that it intended to decrease the corporate tax rate by one percentage point from 28% to 27%. It has now been confirmed that this decrease will take place, effective for tax years ending on or after 31 March 2023. In other words, this will apply to any company whose tax year commences on or after 1 April 2022.

Thank you to all our valued clients for your support this year. We wish you and your family a happy holiday and an even happier New Year! Please note that both the UK and SA practice will be running with reduced staff from the 16th of December 2021 until the 10th of January 2022.

We would appreciate it if all VAT and payroll runs are completed and submitted before the 16th of December to allow for our clients and staff to have a proper break over the holidays.

Written by Roulon du Toit

The South African corporate income tax rate is scheduled to decrease from 28% to 27% on 1 April 2022. Yipee.

BUT,

To help fund this change, there is a proposed change to the manner in which companies will be able to utilise assessed tax losses that arose in prior tax years.

Written by Roulon du Toit

The South African government intended to reform the laws pertaining to provident funds from March 2015. However, this led to significant objections and protest action from trade unions and the changes were delayed until March 2021.

Hope everyone has a fun October with Halloween right on our doorstep.

Now, you all know how much we love and recommend cloud accounting packages, especially Xero 😁 and they are running a competition to find the ‘Rockstars of accounting’!

So, if like us you think Xero is the best thing since self-toasting bread (no, sadly that’s not a thing) and Anlo have been instrumental in introducing you to Xero, we would really, really really appreciate your vote for us. Entries close on the 10th of December this year and you can nominate us right here

Written by – Matthew Armstrong

With life starting to return to normal due to the successful implementation of the covid-19 vaccine, this is the perfect opportunity to talk about travel and accommodation and what it means for you and your business.

We want to take this time to discuss how you can go about claiming expenses associated with travel, what the deductions are, what are the allowance guidelines set out by SARS, the impact they have on your VAT, what the implications are for your PAYE and company tax and lastly, how to determine if travel expenses can be allocated as a business expense or not. This will be discussed around flights, local travel (by car or train) and accommodation on business trips.

I love September! It's my birthday in September; and it is spring in September 😊 I hope you have all had an amazing September so far.

We would like to welcome Kylene and Eleanor to the Anlo team. Kylene is a young ambitious girl who is absorbing knowledge like a sponge from the team! She is currently an intern and will help around with tasks in the office until she is confident and can take on her own clients. We are very excited to see what this bright girl will bring to Anlo.

We as a company realised something important this week; we work with a lot of charities and non-profit organisations. That made us really proud, and we thought we will share some insights about working with non-profit organisations.

Provisional tax is due again end of August 2021. This is the first provisional tax for individuals that are required to submit provisional tax, and companies that have a February year end.

Please note that if we have not received your information by 12 noon on the 31st of August, we will be unable to submit your return. This is only to ensure we get your return submitted in time and calculated correctly

Kindly please send us your provisional tax information before the end of August to avoid penalties and interest.

Our monthly newsletter - this month we had TWO birthday celebrations, so naturally we celebrated this in true Anlo style with lots of cake, treats, snacks, and smiles. Happy birthday Irelene and Matthew!

Esi and I recently completed a leadership coaching course and Nancy Kline’s book “Time to Think” was highly recommended by our tutors.

I love this book because it’s a very practical book about cultivating a thinking environment in your team.

According to the book the reason a thinking environment is important is because ‘thinking for yourself is the thing on which everything else depends’.

I am all for positivity and I know our clients are aware of the following points, but I thought I would remind everyone (and myself) for good measure.

We have been working with a business mentor ourselves, and every week Esmerelda and I sit and ponder business, life and everything.

The following six points always come up:

It is now a year since we went into lockdown, and how the world has changed.

Anlo has also changed significantly; it was the hardest year in a decade, but we have learnt so much about ourselves that we must look at the bright side.

I realised what amazing clients we have. Because of them, our company is still here. Because of them people are employed and have a future. So, thank you, thank you!

Written by Juarita de Bryn

People have been asking us about the deduction of home office expenses for employed taxpayers and here is a great summary in preparation of the 2021 tax season.

We confirmed with SARS that full-time employees may claim home offices expenses during lockdown with some requirements: