It's that time of the year again, when we dust off our calculators, gather our receipts, and dive headfirst into the world of taxes. Brace yourselves, for tax season is upon us, beginning on 7 July 2023. It's the moment when we file our annual tax returns with the South African Revenue Service (SARS). Let's dive into the essentials you need to know to navigate this yearly fiscal marathon.
Tax Threshold for Individuals:
· Below age 65 - R95 750
· Age 65 to below 75 - R148 217
· Age 75 and older - R165 689
Now, let's talk about some crucial items and documents you'll need to have on hand when tackling your tax return. These include:
1. IRP5/IT3(a) certificates: These documents are provided by your employer(s) and summarise your income and deductions for the tax year. Make sure you have all the necessary certificates from each employer you've worked for during the year.
2. Medical aid certificates: If you're a member of a registered medical scheme, ensure you have your medical aid certificates, which outline your contributions and any additional medical expenses.
3. Financial statements: If you're a business owner or self-employed, you'll need your financial statements, including income statements, balance sheets, and relevant supporting documentation.
4. Investment and interest income: Gather statements from your bank, investment accounts, and other financial institutions that detail any interest earned or investment income received during the tax year.
5. Expense receipts: Keep track of any deductible expenses, such as travel expenses, professional fees, or donations, and ensure you have the necessary receipts or proof of payment.
Here are some tips for filing your tax return, make sure that you complete your tax return correctly. If you are not sure how to complete the forms, you can get help from a tax professional or ask a friend. File your tax return on time. The deadline for filing your tax return is 23 October 2023.
