Sars income tax logbook

When you start a new business there are some sars registrations to consider. At the end of the income year, tims logbook shows he travelled a. What documents do i need for sars tax return sars efiling. Travel elog book sars logbook used to claim a deduction on personaltax when can you claim for travel.

Firstly, record your motor vehicles odometer reading on 1 march, i. Smtax is one of south africas top ranked and fastest growing digital accountant and registered sars tax practitioner. Gps log book takes the hassle out of keeping an accurate, detailed and sars compliant logbook by allowing you to effortlessly manage your trips. Free travel logbook online electronic tax logbook dryk. An example of a logbook can be found on the sars website. If youre a sole trader with simple tax affairs, you can create a logbook and record businessrelated car trips using the mydeductions tool in the ato app.

Gps log book how to generate a sars compliant logbook. You may only claim travel expenses if you kept a valid vehicle logbook. Logbook 20 travel logbook for 1 march 2012 to 28 february 20 logbook for 01 march 2012 to 28 february 20 in excel format. Youre required to pay income tax if your taxable income for the tax year exceeds. Sars efiling is a free, online process for the submission of returns and declarations and other related services. From 1st of march 2011 it is a requirement from the south african revenue services or sars to keep a detailed logbook.

When connected to a computer, your logged data is uploaded to the gps log book server, to be readily exported into an accurate sars compliant tax logbook. It is compulsory to keep a logbook for south african revenue services to submit a claim for your vehicle expenses on year end. For taxpayers aged 75 years and older, this threshold is r6 750. May 16, 2019 if you receive a travel allowance from an employer or principal, you can claim a deduction on assessment of your annual income tax return for the use of a private motor vehicle for business purposes.

Once you know what your taxable income is, you need to look at the sars tax tables to find the income tax bracket that you fall into your tax rate. Similarly, a vague travel logbook may add to a sars auditors. Individual income tax registration and tax filing requirements. For example, a car with a value of r250 000 with 20 000 business kilometres travelled, could result in a payment to sars of r15 892 at the end of the year. Find out how to optimise the travel allowance section on your tax return for the.

You can calculate your claim based on the table of costs supplied by sars each year you will find the cost tables which apply to the tax. Mar 01, 2020 if you are registered for income tax, you will be required to submit an annual income tax return to sars. Retirement fund contributions as most taxpayers know, contributions made to a retirement annuity, pension fund or provident fund can. Ctf provides you with a workable sample here car log book travel log book 2019 download here travel log book 2018 download here travel log book 2017 download here travel log book 2016 download here. You have to keep an updated logbook or you will be unable to claim the costs of business. Our electronic logbook makes logging travel expenses for tax purposes easy.

When is a logbook required to justify a deduction claim. You are now ready to calculate the amount of your claim. Once the individual has calculated the deduction, it would need to be disclosed in the 2010 income under other deductions in the tax return. Vehicle logbook app for recording work travel taxtim sa. The south african revenue service reserves the right to audit and query the content or information recorded by the taxpayer in any logbook. How to calculate your travel allowance when submitting tax. Travel elog book sars logbook used to claim a deduction. It allows you to keep track of business and private trips.

I recommend that employees download this for use as it indicates all details required by sars for the purpose of claiming a deduction. When you fill out your tax return, you provide all the information relating to your income and expenditure over the tax year to sars. I have submitted incorrect logbook information to sars. A log book has to be kept to verify private and business km travelled. Employees should keep this on hand at all times so that they get into the habit of updating it as they travel, says nair. Always keep your sars travel logbook safe and secure. Make tax season in july quick and easy with taxtim. Use it only as source of information when income tax return itr12. How travel allowances work the sa institute of tax professionals. Completed logbook other reports to confirm rental or trade income or expenses claimed after submission of the itr12 to sars an it34 assessment will be issued, which will indicate whether an amount of tax is payable to sars or a refund is due to the taxpayer. Aug 01, 20 the income tax act 58 of 1962 gives taxpayers who receive a travel allowance the right to claim this deduction if they use their private vehicles for business purposes, but travelling between home and work is not included. What you need to know about tax and your travel allowance fin24. Reimbursive travel allowance effective from 1 march 2018.

Then the refund will be between 30% 30% of the r48 000 as this is the amount of tax a person will pay less for each rand deducted from hisher income. Marryam safdar dependent of nawaz sharif because his. Jan 26, 2012 little logbook userguide sars compliant gps logbook. The car logbook method is a good way to track your car expenses and claim them on your tax return to increase your tax refund keeping track of your businessrelated car expenses with the logbook method is not so hard, and it could really boost your next tax refund. Detailed and completed logbook, if taxpayer received any travel allowance or claiming travel expenses plus details of. Mar 01, 2012 logbook for 01 march 2012 to 28 february 20 in pdf format. Taxpayers can claim deductions for their contributions to medical schemes. People have different tax rates based on how much they. The 2019 year of assessment commonly referred to as a tax year runs from 1 march 2018 to 28 february 2019. You can request it verbally from the sars contact centre on 0800 00 7277. Keeping your sars travel logbook in order used to be a headache. Say the logbook allows for the entire travel allowance to be deducted from this tax payers income, taxable income will be reduced by a further r48 000 which triggers a tax refund. Free excel logbook for sars download at the bottom of the page.

We revisit the fundamentals of the travel claim on your tax return and expand. Travel log book 2020 download here ctf provides you with a workable sample here car log book. Every year, sars announces its tax season, a period during which you are required to submit your annual. This free service allows taxpayers, tax practitioners and businesses to register free of charge and submit returns and declarations, make payments and perform a number of other interactions with sars in a secure online environment. Employee list invoices trip data help profile logout. Should you go to a sars branch where a sars agent will assist you to submit your itr12 electronically, take your complete travel logbook with other relevant material supporting documents. You may make use of the sars elogbook, simply download the.

This assists in the log book submission of an annual tax return. If you use your car for work purposes, the ato will let you make a claim on. Using this function means you that you wont need to enter every date and it can even take into account. Without a logbook, you will not be able to claim a travel deduction. If you receive a travel allowance from an employer or principal, you can claim a deduction on assessment of your annual income tax return for the use of a private motor vehicle for business purposes. Our stepbystep process asks you basic information about your salary, investments and deductions after which, we submit your tax return to sars. Download the suzuki travel logbook and keep your tax affairs in. In order to claim a deduction, the first step is to record.

Travel logbook july 2008 issue 107 if you receive a travel allowance from your employer to compensate you for the business use of your car, you can claim expenses against this allowance and only the net amount will be taxable. If you receive a travel allowance from an employer or principal, you can claim a deduction on assessment of your annual income tax return for. The gps log book device plugs into the cigarette lighter in your car and automatically records all vehicle mileage. Calculating a travel deduction if you are in receipt of a travel allowance the income tax act no. If youre 65 years old or above, the tax threshold which is the amount above which income tax becomes payable increases to r122 300. Not everything might be applicable to your startup business, but we will explain some of the various tax below. Your logbook provides the south african revenue service sars with proof. After the data has been uploaded to the gps log book server, via a user friendly online interface, then sars compliant log books can be created. Travel log book 2019 download here travel log book 2018 download here travel log book 2017 download here travel log book 2016 download here. If you are a registered taxpayer and have forgotten your 10digit tax number, you can easily find it on your irp5 form or on the sars income tax workpage on efiling if youre a registered efiler. Sars have now made it compulsory to have a detailed car log book. Sars rates of tax for individuals dirmeik consulting. Sars travel logbook daily business travel records date kilometre recording total business kms business travel details.

During the last tax year we have seen an increase in queries raised by the south african revenue services with regards to claims in respect of travel. Please have your id number on hand as sars will have to authenticate who you are. If you are not automatically redirected, please click here. Only 80% of your travel allowance is included in taxable income, so we therefore also subtract 20% to calculate this value.

Some common and sometimes forgotten tax deductions. If you are looking to create an excel logbook for sars and you want it to include the dates for working days only, you can easily create it in excel using the workday function. On a final note, remember that you must have a logbook and you need to retain this for a period of 5 years, just in case sars requests it. We often receive queries relating to the necessity of providing travel logbooks when claiming businesstravel expenses against taxable income. And although acting commissioner of the south african revenue service sars mark kingon has noted you dont have to file a tax return if you earn less than r350 000 per year from a single source of income and have no allowances you may still choose to file if you believe there are deductions you can claim. New tax dispensation applicable as from 1 march 2018 as from 1 march 2018, paye must be withheld on any travel reimbursement calculated at a rate higher than the prescribed rate. Personal income tax documents shamu bookkeeping services. Even though the hand written logbook is still compliant to the requirements of sars, it is definitely a very time consuming affair. It is important to note that travel between your home and place of work cannot be claimed and is regarded as private travel.

If you are 65 years of age or older, the tax threshold i. How to use sars efiling to file income tax returns sars e. To keep this records one can either use an electronic vehicle logbook or input this information manually by hand. He also warns that it is commonplace for sars to disallow logbooks that do not meet. If they are in some way dissatisfied, they can request an audit, which means that you are required to provide them with all original documents that prove the numbers you have quoted. Little logbook userguide sars compliant gps logbook video. What you need to know about tax and your travel allowance. Jun 30, 2019 a template for the logbook is available on the sars website.

Try a simpler alternative to sars efiling taxtim asks simple questions onebyone then fills in your tax return for you instantly. Collect your free travel logbook for sars here it is compulsory to keep a logbook for south african revenue services to submit a claim for your vehicle expenses on year end. All data will be safely and securely stored in the cloud for you to access, from the comfort of your couch. Budget tax guide for 2017 for the 2018 year of assessment 1 mar 2017 28 feb 2018 budget tax guide for 2018 for the 2019 year of assessment 1 mar 2018 28 feb 2019 download and print the sars logbook for personal use or for your business fuel. If you receive a travel allowance from an employer or principal, you can claim a deduction on assessment of your annual income tax return for the use of a. Business travellers urged to keep accurate logbooks mazars. Tax planning log book sars have now made it compulsory to have a detailed car log book. Detail information include opening and closing odometer readings with the business and private portions of a trip been specified. Sars has a logbook which taxpayers may use and that is available on the sars. Sars efiling is a free, online process for the submission of returns and declarations and other related services, for more information visit the efiling services page. Use it as a source of information when compiling your income tax return itr12.

The income tax act 58 of 1962 allows taxpayers in south africa who receive a. I have submitted incorrect logbook information to sars, what does that mean. Travel logbook for 1 march 2012 to 28 february 20 sa tax. Please note that you cant request your notice of registration from the sars contact centre, only at a sars branch. Income and expenditure schedules, rental property leases, bank and bond statements, municipal accounts for each rental property any additional documentation that either shamus tax practitioner professional or sars may deem necessary in preparation of the taxpayers tax return. For the 2020 year of assessment 1 march 2019 28 february 2020 r79 000 if youre younger than 65 years old. Travel elog book sars logbook used to claim a deduction on. Without this logbook, the allocated monthly tax benefits are lost and the shortages would need to be paid back to sars at the end of the tax year. Should you go to a sars branch, a sars agent will assist you to submit your itr12 electronically. Employees need to keep their logbooks up to date and ensure their submissions to sars are 100% factual. Now you can keep your vehicle log book up to date with oneclick simplicity from taxtim. Every entity need to register for income tax and provisional tax. During tax year 2019 march 2018 february 2019 sars brought in code 3722 which come as a result of code 3702 a taxable travel reimbursement allowance in our previous article we stated that an amount given by an employee under code 3702 is not taxed upon receipt but is included as income on assessment and fully included as income. Travel claims can be split into the following categories.