Tax and Retrenchment: A Potential Minefield
Retrenchment can be extremely taxing … in more ways than one! Being retrenched is a traumatic experience regardless of your place on the corporate totem pole. However, the stakes tend to be higher for more senior employees – not only in terms of the larger sums involved when it comes to separation packages, but also […]
Accrual vs. Cash Accounting for Your Business: Which One Is Best?
When deciding between accrual and cash accounting for your business in South Africa, it’s important to understand the differences and how each method may affect your business. Both methods come with their own set of advantages and challenges, depending on the size and complexity of your business. This article will help you choose the right […]
Protect Your Family’s Assets with Effective Estate Planning
Make sure your assets are managed and distributed according to your wishes. Estate planning is an important step in protecting your family’s future and avoiding any unnecessary complications. Here’s a simple guide to the key steps involved in the process. Define Your Goals Start by outlining what you want to achieve. Whether it’s providing for […]
Common tactics fraudsters use in insurance
Insurance fraud costs the global economy billions annually, and South Africa has not been immune to this issue. In fact, in 2024 alone, South Africa’s insurance industry lost an estimated R8 billion due to fraudulent claims, according to the South African Insurance Crime Bureau (SAICB). Understanding the red flags associated with insurance fraud, and staying […]
Common wealth-planning mistakes
In his poem The Mistake, James Fenton talks about the sad truth in making mistakes. He beautifully describes that even with blatant warnings that are ignored or subtle hints that have gone unnoticed, we sometimes go about our lives not knowing about the mistakes we are making and how they will impact our loved ones […]
Five Expensive Payroll Errors
These common PAYE errors could cost you dearly with SARS. With SARS continually seeking to increase its revenues however it can, organisations with misconceptions about how certain payroll elements should be taxed may unknowingly be exposing themselves financially. We often come across the following top five payroll errors that organisations need to question and correct […]
SARS’ “Lie Detector” Tests
Are you fiddling your taxes? Here’s how SARS can catch you… In the old South Africa, the favourite national pastimes were braaivleis, rugby, and cheating on your tax returns. This was made easier by the fact that the Receiver of Revenue of old operated in an environment where no two offices even talked to one […]
Is a Logbook Really Necessary?
Or can SARS use code 3702 to audit potential business kilometres travelled? I have often wondered whether SARS officials thoroughly review the submitted logbooks when taxpayers claim for travel expenses incurred as a result of business travel, or are these requested just to tick a box? This uncertainty has recently been rresolved—SARS audits the logbooks […]
To Claim or Not to Claim—VAT, That Is…
Some vehicles you cannot claim VAT on, some you can—and knowing the difference can save you a lot of money. When can you claim input VAT on a vehicle? Most businesses that are registered for VAT will be aware that you generally cannot claim input VAT on the purchase of a ‘motor car’ as defined […]
Travel Claims, but No Allowance?
For commission-earners and the self-employed, the rules are slightly different—but travel costs can be claimed. The mistake that I make when writing articles about travel allowances is that I tend to forget that not all of us are ‘wage slaves’. Indeed, there are many taxpayers for whom the saying, “If a man will not work, […]