- 9 January 2023 – SMME Newsletter
Read the latest SMME Connect Newsletter. See the previous SMME Connect Newsletters here.
- 1 September 2022 – Removal of the supplementary declaration for companies or close corporations (IT14SD) form 16 September 2022
From 16 September 2022 SARS will no longer require you to submit the Supplementary Declaration for Companies or Close Corporations (IT14SD) when identified for a verification.
The requirement to submit an IT14SD when a verification case is created will be replaced by a letter requesting specific relevant documents based on the reason for verification. For more information click here.
This page is dedicated to Small Medium and Micro Enterprises (SMME) Taxpayers.
The SMME Taxpayers is a Division in SARS that represents the needs and interests of this sub-segment in the tax environment. This will be done through:
- Providing Clarity and Certainty to Taxpayers
- Making it easy for Taxpayers
- Detecting and deterring Taxpayers who do not comply
- Working with and through Stakeholders to improve the tax ecosystem.
The purpose of this page is to share current and upcoming work being done to achieve the above mandates. If you are a SMME Trader or Traveller, see our dedicated SMME Traders and Travellers webpage here.
See our SMME video ‘A guide on small business taxes in South Africa’ here.
Mobile Tax Units
See our schedule for the Mobile Tax Units per region. The Mobile Tax Units webpage will be updated on a regular basis. To see the services Mobile Tax Units offer and the documents you need to take with you, click here.
Upcoming education sessions
See our schedule for the upcoming education sessions per region.
How to comply as a Small Business?
Complying with your tax obligations as a small business has been made a lot easier over the past few years. Read below for more information:
- If you are starting out and need to register as a company, you will have to contact the Company and Intellectual Property Commission (CIPC), formerly called CIPRO. Please note that Companies are first required to register with the (CIPC) offices before registering with SARS for an Income Tax reference number, click here for CIPC. Once a taxpayer registered with CIPC, SARS will automatically generate an Income Tax reference number. Taxpayer must then register on eFiling to transact electronically.
- See Registering on eFiling and services available online.
- How to obtain your Tax Clearance Information: As a Small, Micro or Medium Enterprise (SMME), at some point or another you will be required to provide / confirm / share your Tax Clearance information with another entity. This could be to apply for a tender, new contract, good standing or in respect of Foreign Investment.
- Registering for Turnover Tax. Turnover tax is a simplified tax system for small businesses with a qualifying turnover of not more than R1 million per annum. It is a tax based on the taxable turnover of a business and is available to sole proprietors (individuals), partnerships, close corporations, companies and co-operatives. Turnover tax takes the place of VAT (in the instance that you have not decided to elect back into the VAT system), provisional tax, income tax, capital gains tax, secondary tax on companies (STC) and dividends tax. So qualifying businesses pay a single tax instead of various other taxes. It’s elective – so you choose whether to participate. For Tax Tables see below.
- Registering your business for VAT
- Registering for PAYE, UIF and SDL.
- In the case where you are already registered as a company and you meet certain qualifying requirements, you may register as a small business corporation (SBC) in order to get additional tax incentives. One of the incentives for SBCs is a reduced corporate tax rate. Click here to see reduced tax rates for small businesses.
ASPOA – Authority on Special Power of Attorney by Tax Practitioner – External Form
CRA01 – Confirmation of Residential or Business Address for Online Completion – External Form
EI2D – Small Business Funding Entity Written Undertaking – External Form
EMP-REG-03-G01 – Guide for completion of Employer Registration application – External Guide
EMP128 – Confirmation of Partnership – External Form
GEN-ELEC-04-G01 – Guide for completing the Value Added Tax VAT201 Declaration – External Guide
GEN-ELEC-08-G01 – Guide to the Tax Compliance Status functionality on eFiling – External Guide
GEN-PT-01-G01 – Guide for Provisional Tax – External Guide
GEN-PT-01-G02 – How to eFile your Provisional Tax Return – External Guide
IT-ELEC-03-G01 – How to complete the company Income Tax return ITR14 eFiling – External Guide
IT180 – Declaration by Employer to Claim Deduction against Learnerships – External Form
IT3(b) – Certificate of Income Investments Property Rights and Royalties – External Form
IT3(c) – Certificate of Income re Disposal of Unit Trusts or other Financial Instruments – External Form
IT3(e) – Return of Purchases Sales or Shipments – External Form
IT44 – Extract of Income – External Form
IT77C – Application for registration Company – External form
LAPD-Gen-G09 – Tax Guide for Small Businesses
LAPD-IT-G12 – Guide to the Urban Development Zone Allowance
LAPD-IT-G16 – Basic Guide to Income Tax for Public Benefit Organisations
LAPD-IT-G23 – Guide on the Taxation of Franchisors and Franchisees
LAPD-IT-G27 – Tax Exemption Guide for Recreational Clubs
LAPD-IT-G30 – Guide on venture capital companies
LAPD-STC-G01 – Comprehensive Guide to Secondary Tax on Companies
LAPD-TAdm-G02 – Comprehensive Guide to Advance Tax Rulings
LAPD-TAdm-G06 – Quick Guide on Alternative Dispute Resolution
LAPD-TAdm-G13 – Reportable Arrangement Guide
LAPD-TT-G01 – Tax Guide for Micro Businesses
LAPD-VAT-G01 – VAT 403 Vendors and Employers Trade Classification Guide
LAPD-VAT-G03 – VAT 409 Guide for Fixed Property and Construction
LAPD-VAT-G04 – VAT 411 Guide for Entertainment Accommodation and Catering
LAPD-VAT-G05 – VAT 412 Guide for Share Block Schemes
LAPD-VAT-G06 – VAT 413 Guide for Estates
LAPD-VAT-G07 – VAT 414 Guide for Associations not for Gain and Welfare Organisations
LAPD-VAT-G09 – VAT 420 Guide for Motor Dealers
LAPD-VAT-G10 – VAT 421 Guide for Short Term Insurance
LAPD-VAT-G11 – VAT Rulings Process Reference Guide
LAPD-VAT-G17 – VAT Reference Guide for Foreign Donor Funded Projects
Legal-Pub-Guide-Gen09 – Tax Guide for Small Businesses
Legal-Pub-Guide-IT17 – Basic Guide to Section 18A Approval
Legal-Pub-Guide-IT26 – Tax Exemption Guide for Public Benefit Organisations in South Africa
MPR1 – Mineral and Petroleum Resources Royalty Application Form – External Form
RA01 – Reporting Reportable Arrangements – External Form
RC02 – Application for Certificate of Residence for Persons other than Individuals – External Form
REV16 – Claim for Refund out of Revenue – External Form
SPPOA – Special Power of Attorney – External Form
TPPOA – Special Power of Attorney to Tax Practitioner – External Form
VAT215 – Record in respect of Imported Services – External Form
WTR01 – Return for Withholding Tax on Royalties – External Form