A travel allowance is when an employer pays an allowance to an employee for business kilometers travelled on behalf of his employer. In practice, employers often give a fixed amount monthly to the employee and may or may not issue the individual with a fleet or petrol card. In the case of a fixed allowance only, the amount paid during the tax period would appear under code 3701 on the IRP5. Where a petrol card is issued to the employee, the amount of petrol would also be added to the amount. To make sure this part is clear, let’s use an example:
Income Tax Return – Individuals (ITR12)
What is an ITR12/ Individual tax return?
An ITR12 return is an income tax return for an individual which stipulates all the income and allowable deductions claimed by the taxpayer for a year of assessment.
An ITR12 or Income Tax Return is a form that SARS requires all individuals (including provisional taxpayers) to complete and submit to SARS once every year. The form is used to declare your incomes and expenses so that SARS can calculate how much tax you need to pay, or how much of a tax refund SARS needs to pay you.
Continue reading “Income Tax Return – Individuals (ITR12)”Tips to get a refund or save money on your taxes
We feel it is our duty to assist you with legally maximizing your tax refunds by utilizing all the available SARS guidelines. Firstly let’s find out who should pay tax and who should not?
You are liable to pay income tax if you earn more than: