Dear fellow taxpayer,

Now that we’re nearing the end of an undoubtedly difficult year, SARS is giving you one last chance to get your house in order. The penalties range from R250 to R16 000 per month for non-compliance, and they start on the 23rd of November!

Avoid these penalties by submitting all your outstanding tax returns before 20 November 2009.

SARS has let you off lightly...

SARS has given you since 1 January of this year to get up-to-date, so you really have no excuse for being late. Be grateful you didn’t live under the reign of King John in England, from 1199 to 1216, where the penalty for tax evasion was castration!

... but don’t breathe a sigh of relief just yet

If you ignore the notices of penalty assessment, SARS will recruit your bank and your employer as their agents, and they’ll take the money you owe them straight out of your salary or your bank account! To make matters worse, you won’t be able to argue against this in Court– SARS can do this, without your permission.

How do you stop this from happening?

Don’t wait until it’s too late! Check your status with SARS –  ask it to send you a print out of all the tax returns you’ve sent to date, and any that may be outstanding. Also make sure your details are up-to-date on SARS’ records. If you believe SARS has incorrectly penalised you, you can object by submitting a Remission Request form.

Until next time,

Ettiene Retief
Editor in Chief
Practical Tax Handbook