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.
Taxpayers only need to complete one ITR12 each year, even if they have several incomes from different employers or different income sources. That is because the ITR12 form contains all the incomes within it, on different pages. For example, if you worked two different jobs, you would have two IRP5 documents from your employer showing your income. You would simply copy the first IRP5 into your ITR12, followed by the second one (into the same ITR12) so that SARS knows your total income for the tax year.
Why should you let LBA Accounting Submit your taxes?
We have years of experience in the Tax field, and we are sure to have heard about most of the errors you are likely to make when submitting your Tax Return. Learn from everyone else’s mistakes through us.
We have a team of dedicated Tax Practitioners who will help you understand the relevant Tax legislation and ensure you claim the highest Refund or pay the lowest tax.
Our Fees
| Income Tax Return – Individuals | No allowance | R 500 |
| Income Tax Return – Individuals | With allowance | R 800 |
| Income Tax Return – Individuals | Members of CC (Includes 2 Provisionals) | R 1,990 |
Who needs to submit an Income Tax Return (ITR12)?
Not everyone needs to file an ITR12.
Let’s check a few things. Are you:
- An individual (Provisional or non-provisional taxpayers)?
- Who earns up to R250 000 for the full tax year?
- From one employer (that’s your total salary income before tax) and
- You don’t have a car allowance, the right of use of a company car fringe benefit or any other form of income (e.g. interest or rental income) and
- Have no deductions that you want to claim for (for example like medical expenses, travel or retirement annuities)?
If you answered yes to all of the statements above, then you don’t need to submit a return.
What do I need to complete my Income Tax Return (ITR12)?
When completing your ITR12, have your relevant material on hand. We may need to refer to these, while completing your return; however, we will not submit them to SARS unless requested.
Top Tip: Keep your relevant material (supporting documents) safely in your possession for at least five (5) years in case SARS needs access to them in future.
- Your Employee Tax Certificates [IRP5/IT3(a)s] which you will get from your employer/pension fund
- Medical certificates as well as documents for amounts claimed in addition to those covered by your medical aid.
- Pension and retirement annuity certificates
- Travel logbook (if you receive a travel allowance or use a company car)
- Tax certificates that you get from investment income [IT3(b)]
- Completed Confirmation of Diagnosis of Disability (ITR-DD), where applicable. See more information on our Tax and Disability webpage.
- Information relating to capital gain transactions, if applicable
- If you have signed up to our Voluntary Disclosure Programme (VDP) then your VDP agreement between yourself and SARS for years prior to 17 February 2010, where applicable
- Financial statements, e.g. business income, where applicable. You may for example have a property which you rent out, so you will need to declare this income.
- Any other documentation relating to income you received or deductions you want to claim.
Remember if you need to change your banking details additional relevant material (supporting documents) may be needed.
WHO PAYS TAX?
People who pay income tax are generally individuals who earn an income (from a salary, commission, fees, etc.).
Corporate tax includes tax paid by companies or close corporations, as well as trusts, on their annual income.
Most of the State’s income is derived from Income Tax (personal and corporate tax), although nearly a third of total revenue from national government taxes comes from indirect taxes, primarily Value-Added Tax (VAT).
Non-residents
South Africa has a residence-based tax system, which means residents are, subject to certain exclusions, taxed on their worldwide income, irrespective of where their income was earned. By contrast, non-residents are taxed on their income from a South African source.
Non-residents pay tax on their income from a South African source.
Top tip: What to do if you need your tax number?
What are the channels to get an ITR12 return?
You can get an ITR12 return:
- By engaging us to do all the running around;
- By visiting a SARS branch;
- By contacting the SARS Contact Centre or
- Via eFiling if you are a registered eFiler.
What are the different channels to submit my ITR12 return?
You can submit your ITR12 return by:
- Engaging a registered Tax Practitioner such us LBA Accounting;
- Logging onto your e-Filing profile and completing and submitting your return online;
- Visiting your nearest SARS branch/Large Business Centre and dropping off your completed and signed return;
- Posting your completed and signed return to SARS.