MAINTAINING SARS REGISTERED DETAILS (RAV01)
In terms of the Tax Administration Act 28 of 2011, taxpayers are required to notify SARS within 21 working days any changes relating to their:
- Physical Address
- Postal Address
- Banking particulars used for transactions with SARS
- Electronic address used for communication with SARS
- Representative taxpayer
- Such other details as the Commissioner may require by public notice.
SARS has made it easier to maintain your registered details by implementing this function on e-Filing. The functionality allows you to view, edit and maintain demographic information including online registration for VAT and PAYE.
Where there is a need to update incorrect ID numbers, kindly note that the taxpayer has to personally go to SARS as Tax Practitioners cannot perform this function on behalf of the taxpayer.
SDK will be assisting you with ensuring your details are up to date with SARS, as SARS may charge an administrative penalty for out-of-date records.
FOREIGN EMPLOYMENT INCOME EXEMPTION
The exemption under section 10(1)(o)(ii) from 1 March 2020
Residents will still be required to observe the 183 and 60 full days requirements in order to qualify for the exemption. Provided the “days” requirements are met, only the first R1.25 million of foreign employment income earned by a tax resident will qualify for exemption with effect from years of assessment commencing on or after 1 March 2020.
Any foreign employment income earned over and above R1.25 million will be taxed in South Africa, applying the normal tax tables for that particular year of assessment.
Temporary relief in respect of the 2020 and 2021 years of assessment
The Taxation Laws Amendment Act, 2020 relaxed the days requirement to qualify for the foreign employment income exemption. In terms of the current provisions, individuals who spent more than 183 days in aggregate and a continuous 60 days working outside South Africa would have qualified for exemption in respect of their remuneration. However, due to travel bans during the COVID 19 pandemic, these individuals could not travel in order to work outside South Africa, and therefore could not qualify for the above-mentioned 183-day requirement.
The 183-days in aggregate requirement is reduced to an aggregate of 117 days. An individual is still required to comply with more than 60 consecutive days requirement in the same period that the 117 days have been met.
The amendment does not provide permanent relief and only applies to any 12-month period for the years of assessment ending from 29 February 2020 to 28 February 2021. This temporary relief is therefore only applicable to the 2020 and 2021 years of assessment.
