Are you committing
Before you do another thing, read this special report to see if you’re one of several companies making these five tax mistakes...
- Structure your salary to pay less tax?
- Claim tax deductions on your expenses?
- Rely on your accountant or tax consultant to do your taxes?
- Charge Vat?
- Pay tax provisionally?
If so, then you’re just another one of several companies that could be committing financial suicide.
I’m sure you’re wondering why I say this. If you give me a few minutes, I’ll explain.
First, I must stress that your salary structuring practices are acting like a homing beacon for SARS auditors...
You’re missing the lesser-known deductions available to you...
Your accountant or tax consultant could end up costing you R1.2 million...
Your Vat returns are constricting your cash flow...
And your provisional tax payments have just declared hunting season open and you’re the game.
But, today that’s all going to change.
Today you’re going to uncover all the details of how to avoid these suicidal tax mistakes. In fact, you’ll never make a tax mistake again (no matter how minor or major). And as a bonus, you’ll pay less tax.
Let’s start with this...
How to make yourself invisible to SARS
Did you know that SARS plans to conduct more than 72,926 audits this year? It’s added hundreds of new collectors to its payroll and each one has his own collection targets to meet. All of which means two things:
- If you’re not compliant, your chances of an audit this year has just doubled, and
- You will pay more in penalties.
Unless you know...
- The 6 reasons SARS will launch an audit against you... and what you can do to avoid the unnecessary attention (A03: 003 – 004) Financial suicide pic 2
- The simple step to take to guarantee that none of your transactions look like a sham to SARS (A03: 009)
- Why the number “3” is the most important number in your assessments (A03: 008)
- The letter you must ask to see BEFORE any audit starts... without it you can refuse to comply (A03: 006)
- What you’re entitled to know about your audit (A03: 005)
Knowing these details gives you the power to reduce your risk of an audit. And when you do face an audit, improving the outcomes.
Still... knowing your rights – and insisting that SARS honours them – is only the first battle to win. To take control of your tax responsibilities and pay less tax, you must not make the five suicidal tax mistakes.
How to pay R23 963.20 less tax on your travel allowance
The obvious first step is to keep an accurate logbook.
“But SARS doesn’t mind you knowing you must keep a log book!” you say. “SARS itself is constantly hammering on about the need to keep a log book.”
But what SARS doesn’t want you to know is how you can save R23 963.20 just by doing so.
So, let’s use an example to show you how to make this saving...
Vincent, a commission earner, can claim his car expenses as a deduction from business income.
The cost price of the car was R300 000.
Total expenses for the year were:
|Fuel and oil =||R9 554|
|Insurance =||R9 780|
|Maintenance =||R3 564|
|Lease payments =||R90 000|
|Total =||R113 018|
But Vincent can’t deduct the total cost incurred. He must first consider how much he used his car for private travel and then make an adjustment accordingly. Because he doesn’t have exact figures, he must make this adjustment in two ways...
If he didn’t keep an accurate log book, his private use of the car would include the first 14 000kms (limited to 32 000km) for the year.
So, his deduction is limited to:
Total expenses = R113 018
Deemed business use of the car = R113 018/32 000km x 14 000km
Allowable deduction = R49 445.38
If Vincent kept an accurate log book, he’d know from a summary of the information he’d diligently recorded that...
Private km = 10 983km
Business km = 20 276km
Total distance = 31 259 km
In this case, his allowable deduction would be:
Total expenses = R113 018
Deemed business use of the car = R113 018/31 259km x 20 276km
Allowable deduction = R73 308.58
That means that an ACCURATE LOGBOOK would increase Vincent’s tax deduction by R23 863.20!
With SARS hungry to increase its collection revenue, it doesn’t want you to know how to pay LESS tax like this. So today I’d like to give you the opportunity to put this team to the test for 14 days.
I’ll explain in a minute... but first, here are a few more secrets you can use to pay less tax, guarantee your compliance and generally just make your job (and life) easier...
How to structure your salary to save R1,000s
(Yes, you can still save on tax this way)
Let's say your company pays you a gross monthly salary of R10 000 with medical contributions of R1 500. Then the medical aid company increases its premium to R2 000.
Under the usual system of structuring salaries, you would make a salary sacrifice of R500. AND you'd need to comply with all the legal requirements to make that sacrifice as well. Then you can only claim your tax-free portion back in the month you make your contribution...
The Practical Tax team has a better way to do this, one that doesn't involve sacrifice and extra work. One that SARS won't look at twice, reassess and penalise you for.
In fact, the salary structuring solutions that the Practical Tax team has uncovered allow you more leeway to structure salaries in the future without affecting your gross salary now.
- The 11 deductions salary earners can still claim (D06: 003)
- The three non-negotiable requirements your employment contracts must meet to minimise your tax (E01: 003 - 005)
- The most common mistake taxpayers make when calculating their pension fund deductions... and what you must to do to avoid it (I01: 005)
- Five tax safeguards to include in your employment contracts (E01: 010, 011)
The solutions also allow you to know the exact cost to company of all your employees, so making management decisions will be easier... especially when review time comes around again.
Then there's this 100% legal strategy...
Other secrets you’ll uncover with the Practical Tax Loose Leaf Service
- If SARS asks you to sign this document... STOP! Put down that pen. You have the right to refuse (C08: 010)
- What R5,000 can do to boost your annual deductions – and how to maximise its effect (D01: 008)
- The ONLY way you’ll NEVER pay donations tax (D03: 002)
- Use your company car in these three ways and you WON’T pay tax (T09: 007)
- The 27 capital allowances for your business (ID: 004 – 005)
Today, I've only shown you a few of ways you can prevent financial suicide. Space is limited. Your time is precious. So, instead of going into more detail here, I want to give you the opportunity to uncover for yourself ALL the tax-minimising, compliance-maximising strategies the Practical Tax team has covered, I'd like to send you the Practical Tax Loose Leaf Service with a complete 30-day money back guarentee.
Remember, independent consultants check all the tips, tools, strategies and checklists you'll discover in the Practical Tax Loose Leaf Service. That means everything you'll find in this loose leaf is 100% legal.
A page full of advantages...
Tax topics for finance professionales - concise and understandable formulated and presented clearly.
But see for yourself ...
You'll only pay R1 795 (ex Vat) for the full package. It's totally risk-free. If you're not 100% happy we'll give you a 30-day money-back guarantee.
30-DAY MONEY-BACK GUARANTEE
By ordering your copy of Practical Tax Loose Leaf Service today:
Avoid excessive tax burdens and audits/penalties
The Loose Leaf contains practical advice in a step-by-step format to help avoid penalties from SARS and complete/pay your tax in the most efficient way.
You can count on the advice in the Loose Leaf, as it’s 100% legal
All information is referenced to the law and checked by external tax experts/consultants.
- You’ll receive the loose leaf binder with 500 pages of practical information and in each section you will receive:
- Practical advice in an easy-to-follow format
- Step-by-step instructions
- Checklists to make sure you haven’t forgotten anything
- Proven sample formulations for contracts, letters and forms
Many immediately understandable examples
- FREE gift: When you order Practical Tax Loose Leaf Service, you will receive "Take on SARS and Win!"
- Save thousands of rands and precious time with this alternative dispute resolution method
- Basic steps leading up to ADR
- To which taxes can ADR be applied?
- What to do if your objection gets disallowed
- The ADR process – what is it?SARS is hungry for money.
In addtion to the report Take on SARS and Win you'll also have access to all these:
- Who can lodge the ADR application?
- What are the benefits to you?
- When may SARS not settle your dispute?
- What does it entail?
- How is it regulated?
- What happens if you reach agreement with SARS?
- What happens if you fail to reach agreement with SARS?
- E-filing objections
- Specimen power of attorney
- Sample ADR forms
- and much more!
We’re so sure that you’re going to benefit from the handbook that if you’re not happy, simply return it within 30 days and for a full refund!
Here's what some of our readers had to say
Get your copy of the Practical Tax Loose Leaf for review right now. With everything it can do for your business... it's the last thing SARS wants you to see.
Managing Editor: Practical Tax Loose Leaf Service
FSP Business, Fleet Street Publications
P.S. Review the 100% legal tips and strategies. Learn how to pay less tax and be perfectly compliant. 30 days later decide whether you want to keep the team working, for you... or not. You have no risk. I personally guarantee it.