06 Apr Paying more to SARS than you should
Is your company paying more to SARS than it should be ?
When a company pay’s for it’s tax returns late, the company is charged a penalty and/or interest by SARS.
There is a 10% penalty on late payments of SARS tax returns. As an example, if the VAT liability of R 20 000 that is due on the 25th March 2020 is paid a minute late, there will be a R 2 000 penalty, so you end up paying R 22 000. That R 2 000 could have been used in the business for marketing that would help grow the business.
Every month that payment is late on a tax return, attracts interest at the SARS prescribed rate. Again, that interest paid will reduce your company’s profit and that money could have been used to grow your business through staff training that would again, help grow your business.
How can I help you ?
Happy tax savings 🙂
Pamella Jabu Ndzumo
Accounting Plus (Pty) Ltd l Registration # : 2017/055363/07 l Registered Accountant – Membership # : 20211377 l SARS Registered Tax Practitioner – Membership # : PR-0098910 l Cell : 083 212 8588 l Website : www.ndzumoconsulting.co.za l Proudly level 1 BEE Compliant l Proudly 100% female owned