Tax returns are an important part of your financial life. They help you understand how much money you earn and what you can expect from the government in terms of taxation. Tax returns are also an important part of estate planning, as they provide information about your assets and liabilities.
The basic qualification for tax returns in South Africa is to be a citizen of the republic and to be 18 years or older. You must also have a valid identity document such as a passport, driver’s license, birth certificate or ID card issued by Home Affairs. If you qualify for a tax return, then you will need to fill out a form called ‘Individual Income Tax Return’ with your personal details, as well as details about any income that falls under your control (such as salary). You will have to pay tax on this income and provide any receipts that prove you earned it.
How to get a tax refund in South Africa?
South Africa has a progressive tax system so the more you earn, the more you pay. This article will help you navigate your way through getting a tax refund in South Africa.
It is important to note that it is not mandatory for employers to withhold taxes from your salary unless they are registered as a withholding agents. There are many people who do not know this and end up having to pay taxes twice or even three times on their income. You can claim back any overpaid taxes from SARS once you have completed your tax return form.
The first step is to calculate how much tax was withheld from your earnings by looking at your payslip and comparing it with what you should have been paying. You can then claim back any overpaid taxes by completing form R150 and submitting it at a SARS branch near you. If this does not cover all the overpaid taxes, then you will need to complete form R1036.
