2016 TAX SEASON – IS OPEN!!
For those people out there who have been focused on Brexit (Britain leaving the EU) and or the start of The Tour de France, we have important news that you might have missed…….The 2016 Tax Season has started without you J
The 2016 Tax Filing season started on 1 July 2016 and will close on 25 November 2016 (for e-filing clients) and while you might think November 25th is a long way off, experience has shown us that it often creeps up much quicker than most of us would like. So this year, get ahead of yourself and file as quickly as possible.
For those who are unsure, the 2016 tax year runs from 1 March 2015 to 28 February 2016 and to help you with your preparation below is a list of the most common items included in a tax return.
- Salary, pension and annuities: IRP 5 certificates or IT 3(a) certificates
- Interest received or accrued (local and/or foreign): IT3(b) certificates
- Travel Logbook: Please note that from 2010 you may not claim your mileage if you did not keep a logbook.
- Other South African income: Rental income, business/freelance income (if IRP5 or IT3 (a) not issued by employer) etc. If married in community of property, the rental- and investment income of your spouse must also be provided, as well as the foreign taxes (if any) paid by your spouse. If the source of this income was as a result of an inheritance specifically excluded from the joint estate, you do not have to provide this information in respect of your spouse.
- Dividends: Details of local dividends (even though it is tax-free) and foreign dividends received or accrued.
- Lump sums: Certificates reflecting lump sums received as a result of retirement from a pension fund and/or retirement annuity fund.
- Capital Gains Tax (“CGT”): CGT became effective from 1 October 2001 and you are requested to provide the market value as at 1 October 2001, as well as selling price and date of sale of any item that qualifies for CGT, e.g. property which is not your primary residence, shares, bonds, Kruger Rands etc.
- Expenses incurred in the production of income: Proof of all expenses incurred in the production of commission-, rental-, business-, and/or freelance income.
- Medical expenses: Proof of medical subscriptions (if any) and expenses not recovered from a medical aid. (Note that non-prescribed medicine does not qualify). Completed confirmation of diagnosis of disability form (ITR-DD), Proof of all expenses incurred as a result of permanent physical or mental disability, which could not be claimed from a medical aid.
- Home office: expenses in respect of an office at home may be claimed, unless a business is run from home.
- Contributions to Retirement Annuity Funds (“RAFs”): Certificates reflecting contributions to RAFs.
- Donations: Certificates/receipts reflecting donations (if any), these certificates must be issued in terms of section 18A of the Income Tax Act No. 58 of 1962.
- Retired individuals: If you retired during the tax year, please provide Forms A and D which can be obtained from your employer/pension fund.
- Bank: Details of your bank account, i.e. name of institution, branch code, account number and type of account
At Phezulu VBO we do more than just assist clients with their tax returns, we are your “one stop SME shop”, assisting with everything from Accounting, Business Management, BEE, Consulting, Company Registration to Payroll and Mentoring.
For more information, please visit our website www.phezulu.net or give me a call 010 003 8558