Last week South African Revenue Service Commissioner (Sars) Edward Kieswetter announced that those who earn less than R500,000 a year will be exempt from filing tax returns this season.
But while this may seem like a welcome move from Sars, freeing many people from the burden of filing, Prof Herman Viviers at North West University says even those who are eligible for the exemption should still file.
It's very important that taxpayers don't blindly look at this R500,000 threshold alone, but they must consider and evaluate their own unique tax position to say, don't have I extra contributions that I made through the year.— Prof Herman Viviers, Associate Professor of Taxation - North West University
He says it's important to note that the exemption only applies to someone who earns a salary from one employer, works for a full 12 months and has no deductions, no travel, no medical, no retirement.
Viviers says by failing to file, you risk missing out on any refunds or tax credit benefits due to you.
Sars needs to assess you. All these deductions and benefits you get upon assessment could result in a tax refund.— Prof Herman Viviers, Associate Professor of Taxation - North West University
The best advice to the taxpayer is to always submit your return to make sure everything is up to date and you are in good standing with Sars.— Prof Herman Viviers, Associate Professor of Taxation - North West University
Previously only those taxpayers who earned R350,000 per year or more would have to submit a tax return to Sars.
Listen to the full interview below:
This article first appeared on CapeTalk : Why you should still file your tax return