07/25/2024 | Press release | Distributed by Public on 07/25/2024 05:54
For many of us, tax return time is a worrying period involving deadlines and admin, avoiding penalties, and ensuring that our returns are accurate. Then, with fingers crossed, if we are using e-Filing, we click a mouse and send the return on its way, hoping that a refund is in the air.
Although the 23 November deadline date for individual taxpayers may seem far away, now is the time to get to know and understand e-Filing, which has been a personal tax game changer and made dealing with the taxman as easy as logging on to a site and registering, and being able to submit returns, and view personal tax status 24 hours a day without leaving home, says John Manyike, Head of Financial Education at Old Mutual.
"For those with simple tax affairs, e-Filing has opened up the world of automatic assessments. SARS does the assessment work and issues automatic assessments based on data collected from employers, financial institutions, medical schemes, retirement annuity fund administrators, and other parties. For those taxpayers who are auto assessed, the only time a return must be submitted is if you believe they got something wrong."
"But, whether you have to submit a return or are happy to accept an automatic assessment, it still pays to be prepared if you want to ensure you pay what you need to and nothing more."
"Understanding what's required, getting organised, and keeping all the necessary documents, income information, expense receipts, log books and investment records in one place throughout the year can significantly reduce headaches and stress."
"Knowing your tax status is equally important. For instance, if you're a provisional taxpayer, the rules and submission dates are different, and any mistakes could result in penalties. Knowing these factors can help you navigate the tax filing process more effectively."
The things you should know are:
"As a nation, we don't make enough provision for our futures by saving and contributing to retirement funds. Saving and building up funds for a secure retirement offer tax breaks and are good ways of reducing tax and possibly earning refunds," says Manyike. These include:
"Although e-filing has changed how we deal with our taxes, taking advantage of the smart tax payment option also means being a smart taxpayer. Planning and being aware of deadlines and opportunities result in tax savings."
"Being informed about tax matters will help you maximise your refunds. If necessary, getting professional help will ensure taxes are filed accurately and on time so penalties and interest charges are avoided. Tax season should be just another routine yearly event rather than a time of stress," says Manyike.