One of the cornerstones upon which our rainbow nation is built is the concept of Ubuntu. Sometimes translated as “I am because we are or “humanity towards others.” Many citizens begrudgingly pay their taxes but a more positive outlook on this is that; it is another facet of our shared humanity. Government is only able to take care of its citizens because of the taxes collected. Taxation facilitates the payment of public goods and services; it is also an essential ingredient in the social contract between citizens and the economy.

Income tax is the government’s main source of income. National government receives all the revenue collected by SARS and distributes most of it to provinces for spending on the big items like education and health.

The article below will focus on Personal Tax.

“I take it personally that Government takes my hard-earned money.”

If you are an individual that is liable to pay income in South Africa, you are one of the privileged people that earns more than (R91 250 for the 2023) or (R95 750 for the 2024) tax year.
Thank you for your contributions. Thank you for driving South Africa forward.

If you meet the following criteria, you do not have to submit income tax returns.

  • Your total remuneration is less than R500 000 for the year.
  • You only receive employment income from one employer or one source for the year.
  • You have received no other income (e.g., car allowance, business income, rental income, taxable interest, or income from another job, or from an annuity).
  • You have no deductions that you want to claim (for example medical expenses, travel, or retirement annuities).
  • You have received no dividends where you were a non-resident throughout the year of assessment.
  • You have received no amounts from tax-free investments.
  • Your interest income from South Africa does not exceed R23 800 per tax year, for a person younger than 65, or R34 500 for a person aged 65 or older.

Should you not meet these criteria, you must submit your personal tax return. SARS also do auto assessments on your personal tax return. Auto assessments are based on the data SARS receives from employers, financial institutions, medical schemes, retirement annuity fund administrators and other 3rd party data providers. It is advisable to check and make sure that these auto assessments are correct, as some information used in these assessments, may not be correct, or there might be income or claimable deductions that cannot be interfaced electronically, for example rental income, other income where you did not receive an IRP5 or IT3, or medical expenses, or any other claimable expenses.

Should you need assistance with these personal tax returns, Business Services.Com is your partner that can assist you. We have the knowledge to ensure that your returns are completed correctly. We have the experience, and we will ensure that you pay the exact amount to SARS, and not more, or less than what is lawfully correct. We have the personal touch to ensure the experience is smooth and stress free.