ALL FAQs

What is turnover tax?
Turnover Tax is a separate tax regime for micro businesses, that was designed to lower their administrative burden and with

What is taxable turnover for Turnover Tax purposes?
The taxable turnover for a registered micro business includes all the amounts (not capital) received by that business during a year of assessment from their business activities in South Africa,

How do I register for turnover tax?
By submitting to SARS a completed TT01 form (available from www.sars.gov.za). The registration application should be submitted before the beginning

Who can register for Turnover Tax?
Any individual or company whose qualifying turnover is less than R1 million for a year of assessment, may register for Turnover Tax.

How do I de-register from Turnover Tax?
You can deregister from Turnover Tax voluntarily by writing to the Commissioner expressing your wish to do so in a manner prescribed by the Commissioner.

Who does not qualify to be registered for Turnover Tax?
A natural person or company may be excluded from the Turnover Tax regime if: 1. the shares are held in an unlisted company;2. more than 20%

Can I be registered for both the Turnover Tax and VAT?
Yes, as from 1 March 2012 persons registered for Turnover Tax may elect to register for VAT.

How will I be informed of an unsuccessful registration for Turnover Tax?
A letter will be issued to the applicant informing them that the application has not been successful due to certain requirements not being met.

What are the requirements for a micro business to qualify for turnover tax?
A natural person (sole proprietors and partners in a partnerships) or a company (including a close corporation and a co-operative) may qualify as a micro business if the

How will the returns and payments work in the turnover tax system?
This will essentially consist of one annual return with two interim (provisional) payments. If liable, you will be required to make two interim payments

What records should be kept by a micro business registered for turnover tax?
A major benefit of turnover tax is the reduced record-keeping requirements. The following records should be kept: 1. Records of all amounts received;

When may a person de-register for turnover tax?
A person may elect to voluntary de-register before the beginning of a year of assessment or a later date announced by the Commissioner in a Government Notice.

May a person who has been de-registered again register for turnover tax?
No. If a person has been deregistered from turnover tax, they may not be registered as a micro business again.