Tag: fringe benefit
SARS PAYE compliance – employers must get it right
The South African Revenue Service (SARS) has signalled a stronger focus on Pay-As-You-Earn (PAYE) compliance. Furthermore, SARS PAYE compliance focus is highlighted in its 2023/24 Annual Report. SARS's renewed attention includes a rigorous auditing strategy targeting employers. The aim is to ensure PAYE is accurately held and remitted.
Tax on year-end gifts for employees
December has arrived, and with Christmas around the corner, many employers are left in a pickle when deciding on gestures of good faith and appreciation for their employees.
Understanding your pay slip
We often receive queries about pay slips. Many times, these queries stem from employees not understanding how their salaries and wages are structured, as well as uncertainty about salary codes. There are two types of pay slips - the pre-employment ‘dummy’ pay slip and monthly pay slips. The ‘dummy’ pay slip should include an estimation of what you will be earning along with a detailed explanation.
SARS clarifies what transport services ‘rendered by the employer’ means
To assist employers and employees with over-coming transport-related difficulties, the Income Tax Act introduced a mechanism to allow employers to provide transport services to their employees and that, although qualifying as a taxable fringe benefit in the employees' hands, no taxable value was given to such benefit.
Tax avoidance could be a tax trap
In 2016, the Income Tax Act (“the Act”) was amended to provide for a further tax burden where (by and large) individuals had advanced...
