FAQ: Do Public Institutions need to apply for tax exempt status?
Public institutions will have to apply for income tax unless there is an automatic provision in the Income Tax Act, which provides an exemption in respect of the receipts and accruals of the public institution.
FAQ: Do Public Institutions (Institutions, board or body established by or under any law and excludes any company as defined in the companies act ,co-operatives, close corporation, trust or water service provider) need to register for Income Tax?
A public institution will have to register for income tax at any time when it becomes liable for any normal tax, or liable to submit any return. According to the annual notice issued by the Commissioner, public institution has to submit a tax return.
FAQ: I submitted a cancellation submission and it was approved. Why do I not receive my refund?
When a cancellation submission is applicable, there are another leg to obtaining your refund. Once you get notification that your cancellation submission was approved, please go to ACCOUJNT MAINTENANCE – MAKE PAYMENT and follow the process to REQUEST REFUND. Once your refund request is received by SARS, it will be approved and the refund paid […]
FAQ: How do we make payment on the VAT undertaking?
A taxpayer who doesn’t have access to or use internet or mobile banking may visit a bank branch. Payments to SARS can be made at the following banks: Absa, FNB, Nedbank, Standard Bank, Capitec and African Bank. The taxpayer can request the bank to process an electronic transfer from their own bank account into the […]
FAQ: What is deemed to be residential property for VAT purposes?
“Residential” is defined under the word definition “dwelling” in the VAT Act and is defined as any building, structure, premises or any other place which is mainly used as a residence of a natural person. A family home leased on a long-term basis is an example of residential letting that is exempt from VAT.
FAQ: What happens when Transfer Duty was underpaid on an application? Can SARS recover the amount underpaid?
Yes, in terms of Section 13 and Section 20B of the Transfer Duty Act, SARS may recover any underpayment or duty due. The Conveyancer will need to cancel the receipt and correctly apply under a new application. If payment was made on the original submission, the Conveyancer has the option of reallocating the initial amount […]
FAQ: Section 9(1)(h) – does the acquisition of an undivided share in property qualify for the exemption?
No, Section 9(1)(h) represents the transferee’s original share in the jointly owned property. Any further acquisition will attract Transfer Duty which will be calculated in terms of Section 2(5) read with Section 5(6) of the Transfer Duty Act.
FAQ: Under what circumstances do I need to submit 2 Fair Values?
You can either submit 2 Fair Values by 2 different and independent Estate Agencies or 1 Sworn Valuation when: Less than 100% is transferred; Parties are connected; Whenever a usufruct, usus or bare dominium is acquired, retained or renounced. Note however that SARS could request valuations under any circumstance should the value need to be […]
FAQ: Why does SARS exclude the spouse who marries in community of property after the date of acquisition (usually in matters of divorce or inheritance.)
Transfer Duty receipts need to reflect the party/parties that acquire rights to property on the date of acquisition. Should, for example, John acquires the half share of his ex-wife (Sue) in terms of the Divorce Order and later marries Amore, Amore is not to be added to the transfer duty application in terms of the […]
FAQ: Option to make payment is not available on the Transfer Duty platform.
Go to Account Maintenance and follow the MAKE PAYMENT process – enter the TDE number (ensure all in capital letters) and continue with the payment process.
