New tax return threshold: 'If in doubt, file anyway'

On Tuesday, new South African Revenue Service (Sars) commissioner Edward Kieswetter announced a shift in the tax return threshold - people earning less than R500,000 per year now do not have to file a return.

The previous threshold was R350,000.

Read: Earn less that R500K per year? Wave goodbye to tax filing

While many have welcomed the move, there are a few potential catches.

Certified financial planner Paul Roelofse says it is vital to understand the conditions that would exempt you from filing a tax return.

It's not to say if I earn under R500 000 I automatically do not need to submit - it's conditional.

Paul Roelofse, Certified financial planner

Roelofse says the stipulation of receiving income from one employer only and with no deductions whatsoever, can be tricky.

If you've got a medical aid certificate or a retirement annuity certificate that you want to include, you need to file... There is a possible tax refund you would get...

Paul Roelofse, Certified financial planner

Aside from missing out on refunds, there are also other practical reasons to keep filing tax returns, even if you do meet the criteria for exemption.

You want that continuity with Sars.

Paul Roelofse, Certified financial planner

When it comes to buying cars and houses you're going to need a tax clearance

Paul Roelofse, Certified financial planner

If in doubt, file anyway.

Paul Roelofse, Certified financial planner

Tax season starts on August 1 2019, but e-filers can submit their returns from July 1.

For more tax return advice, take a listen:


Recommended

by NEWSROOM AI
Read More
[LISTEN] Nduduzo Makhathini: a musician who doesn't want to be categorised

[LISTEN] Nduduzo Makhathini: a musician who doesn't want to be categorised

In studio with Phemelo, the 'jazzman' talks about his personal cosmology and how it plays into his compositions.

'No repeat policy at foundation phase would have dire consequences for society'

'No repeat policy at foundation phase would have dire consequences for society'

Parenting expert Nikki Bush and Phemelo Motene have a hard-hitting conversation about the Basic Education Department's plans .

Was apartheid regime involved in UN chief's death and African Aids plot?

Was apartheid regime involved in UN chief's death and African Aids plot?

Andreas Rocksén, producer of new documentary 'Cold Case Hammarskjöld', speaks to Phemelo Motene.

Earn less that R500K per year? Wave goodbye to tax filing

Earn less that R500K per year? Wave goodbye to tax filing

But Marc Sevitz of TaxTim says it is best to file anyway because you've got to show that you're compliant.

Activist Beverley Ditsie receives honorary doctorate from US university

Activist Beverley Ditsie receives honorary doctorate from US university

In 1995, the LGBTI activist became the first African lesbian to address gay and lesbian rights before the UN.

Outwitting scammers: 'If in doubt, opt out'

Outwitting scammers: 'If in doubt, opt out'

Certified financial planner Paul Roelofse says your best weapons against being caught in a scam are vigilance and suspicion.

Popular articles
[WATCH] A group of men load impala carcass in taxi at Kruger National Park

[WATCH] A group of men load impala carcass in taxi at Kruger National Park

Khabazela shares tweets and Facebook posts that have gone viral.

Journalist describes two "bulls" within the ANC - Magashule vs Ramaphosa

Journalist describes two "bulls" within the ANC - Magashule vs Ramaphosa

Veteran journalist and columnist Sam Mkokeli analyses the power struggles within the African National Congress.

Innovative medical glue replaces stitches and staples

Innovative medical glue replaces stitches and staples

Bio-Technology Ph.D. student at the Israel Institute of Technology Alona Shagan explains device similar to a standard glue gun.

[VIDEO] DA's Van Damme accuses family of racism, V&A Waterfront apologises

[VIDEO] DA's Van Damme accuses family of racism, V&A Waterfront apologises

The Democratic Alliance MP claims she was subjected to a racist tirade at Cape Town's V&A Waterfront and wants action taken.

I’ve never seen anything like this! – Simon Brown on Old Mutual vs Peter Moyo

I’ve never seen anything like this! – Simon Brown on Old Mutual vs Peter Moyo

The Money Show’s Bruce Whitfield interviews Simon Brown, Financial Educator at Just One Lap.

[WATCH] Volkswagen’s new feel-good Kombi ad 'Cupcake Boss' is brilliant

[WATCH] Volkswagen’s new feel-good Kombi ad 'Cupcake Boss' is brilliant

Advertisers traditionally warn against working with children. In this ad it works beautifully, says ad expert Andy Rice.

Court orders Gupta-linked Trillian to pay back R600 million to Eskom

Court orders Gupta-linked Trillian to pay back R600 million to Eskom

It also ordered the company to pay for all the costs of the application. Bruce Whitfield interviews EWN’s Clement Manyathela.

Comparing milk prices across Africa suggests the rand may get stronger

Comparing milk prices across Africa suggests the rand may get stronger

The Money Show’s Bruce Whitfield interviews Neville Mandimika, Africa Strategist at Rand Merchant Bank.

Learn to invest, then watch your money grow

Learn to invest, then watch your money grow

Ray White interviews Thobelani Maphumulo, author of "Invest Your Way to Wealth".