IMPORTANT DATES

Please take note of the following important dates:

• EAAB annual report                                              30 June 2022
• FSCA financial report                                            30 June 2022
• Income tax season 2022 opening                        1 July 2022 – 24 October 2022
• First 2023 Provisional Tax Submission                 31 August 2022

This newsletter will serve as a guideline on the supporting documentation to gather and provide to your tax practitioner in preparation for the 2022 income tax season opening on 1 July 2022. It remains your responsibility as a law-abiding citizen of South Africa to adhere to all tax laws and submit your income tax return within the dedicated timeframe. At FC Chartered Accountants we are able to assist you with tax planning services and provide advice on business structures.

Contact us for more information.

• Call us on 012 807 1714
• Email us on info@fcfin.co.za
• WhatsApp us on 071 071 7206
• Or visit our website: www.fcfin.co.za

Kind regards,
The FC CA team

All natural persons and non-natural entities are required to register for income tax in South Africa if taxable income is received from a South African source.

Retention of supporting documents used in the submission of income tax returns

The Tax Administration Act requires that the following persons retain tax records:

• Who is registered for income tax
• Who has filed an income tax return
• Who is obligated to file a return and are non-compliant

Format in which supporting documentation should be kept

The supporting documentation should be kept in a format that is readable and preserved in a manner that does not compromise the validity of the information captured thereon. An electronic format as prescribed by the Commissioner by public notice will be accepted by a SARS official with the condition that the support is provided in an orderly fashion and is relevant to the year of assessment.

Timeframe for the retention of supporting documentation

Supporting documentation that is required by tax practitioner for the submission of 2022 personal income tax return

The support provided to the tax practitioner for the calculation of the income tax return should always be complete e.g. Tax certificates from all investments should be provided as the taxable income is calculated on a cumulative basis for the year of assessment. Any relevant information left out of the calculation may result in the calculation being inaccurate and SARS accruing penalties and interest. Please contact your tax practitioner if you have any uncertainty regarding what information to provide.

The standard supporting documentation to be provided are as follows:

• IRP5
• Medical aid tax certificate
• Support for qualifying additional medical aid expenses paid not reflecting on the certificate
• IT3 tax certificates for investment income
• Retirement annuity fund contribution certificate
• Logbook for business travels. This will be required in each of the following scenarios:

· Taxable travel allowance is received, or
· Income derived as a sole proprietor, or
· Commission earner

• Excel summary of the income and expenses incurred per rental property together with the following:

· Property management schedule of the rental income received or the applicable signed lease agreement as proof of the rental income
· Tax invoices from suppliers issued to the taxpayer in the relevant year of assessment for services delivered at the rental property
· Mortgage bond state for the year of assessment

• Excel summary of the income and expenses incurred for commission earners together with the following:

· Tax invoices for all qualifying business expenses provided in an orderly fashion
· Travel logbook for business trips
· Support for home office expenses

In conclusion, it is important to keep in mind that the responsibility remains that of the taxpayer to prove to SARS that the expenses incurred in the production of income are qualifying deductions that should be allowed. The proof starts with the valid retention of supporting documents.

We have a new monthly section where we will be giving a general overview of one of our clients. We see it as a networking segment where we introduce a company to your network. It is a free opportunity for you to inform our readers about your company and what you do. If you are interested send a short profile about your company and what you do as well as your company logo and contact details.

On this month’s issue we would like to introduce Thetha Connect

Thetha Connect is a virtual receptionist service that ensures all your business calls are handled professionally.

This service is ideal for businesses with no dedicated receptionist – and saves costs, reduces admin, and provides you with detailed and accurate messages.

No matter your industry, Thetha Connect’s agents are trained to understand your business and customers. They can therefore provide your callers with information about your business, including your products, services, and basic sales information.

For example: qualified and experienced agents will answer calls, book appointments, and issue reminders to patients for your medical practice.

Alternatively, legal practitioners will benefit from attorney confidentiality, and Thetha Connect will provide them with their own unique business telephone number so their existing numbers can be kept private.

Thetha Connect also has a VoIP service, which is an extra extension that can be added to your existing VoIP telephone solution to direct incoming calls to your virtual receptionist.

Additional services include auto attendant services, call recordings, transfer of calls to fixed-line and mobile numbers, customised voice messages after hours and music on hold.

Thetha Connect has everything covered, allowing you to focus on important business tasks.

Contact Thetha Connect on 087 135 0138 or email info@thethaconnect.co.za
www.thethaconnect.co.za