The 2021 tax season opens on 1 July 2021.?
There are a few things that you may need to know to get ready for this tax season and to reduce your tax risk:?
- SARS knows about your undeclared?income. Therefore, declare all your income. You can read more here.?
- Only claim?deductions that you are allowed to claim. Do not claim for personal expenses?or deductions.?
- Not everyone can claim home office?expenses. You can read more here?and also here.?
- Section 12J investment vehicle closes on the 30th of June. This allowed 100% of the contribution to 12J as a deduction on your taxable income.?
- There are a few legitimate deductions that one can use to reduce taxable income (tax payments.) Use these but ensure you have all the supporting?documents to justify the claims. You can read more here.?
- You may be selected for auto assessment. This does not necessarily mean your tax return is complete and accurate. Ensure that all your income is declared and that you have taken advantage?of all allowable deductions.?
- It is a criminal?offence to lie or make negligent errors on your tax return. read more here
- SARS is seeking to criminalize mistakes that you may make on your tax returns and they do not have to prove any criminal intent. read more here
- If you hold or trade cryptos, these should also be declared on your tax return. Read more here?about what SARS is doing to identify Crypto Holders. More info here
- Start early. Put together all your supporting documents before starting to work on your return.
