Tax Registration at SARS

SARS requires all individuals in South Africa to be tax registered and pay Income Tax on any taxable income received by an individual.

This funds paid through Tax deductions contributes to the cost of roads, schools, hospitals, and other government services. The South African Revenue Services (SARS) administers tax collection and ensures that all working citizens contribute equitably.

Taxable income covers a range of earnings, from your regular salary and bonuses to profits from a business, rental income, and even certain capital gains.

If you’re ever in doubt about what counts as taxable income, Company Partners has a team of experts ready to assist and clarify things for you.

Have a look at our tax and accounting services on offer for small businesses to give you peace of mind!

For the 2020 tax year, if you earned more than ZAR 79,000 (that’s ZAR 6,583/month before taking off any deductions), you’re required to pay Income Tax.

For 2021, the threshold is ZAR 83,100 (or ZAR 6,925/month). 

First, you’ll need to register for Income Tax at SARS.

Company Partners can simplify this for you. Our seasoned tax accountant will prepare your documents, handle the SARS process, and get you your Tax Registration Number within a week. You can read more about the benefits of having professional tax services at your disposal here.

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Yes, submitting tax returns is crucial.

If you miss your tax return deadline, SARS might charge you an administrative penalty. 

Administrative Penalties (Admin Penalties) are imposed under Section 210 of the Tax Administration Act (TAA). The Act specifies the administrative penalties applicable to the various categories of noncompliance.

Yes, taxes do apply to Trusts in South Africa, and the specific tax implications depend on several factors

SARS mandates additional tax contributors based on the nature of the trust.

The assets deposited in family trusts are exempt from capital gains tax. However, the income generated by the assets within the trust is subject to a 45% flat rate of taxation on the trust itself.

Like natural persons, special trusts are subject to a sliding scale tax rate ranging from 18% to 45%.