The deadline for IRP6 and IT14 tax returns for companies, including CC’s, Co-operatives, and Body Corporates, came and gone on the 29th of February, 2024. Tax season, while always stressful, presents an opportunity to streamline your financial affairs with expert guidance. If you watched the latest Budget Speech, you would know South Africa’s State-Owned Enterprises and Government Debt remains massive. An efficient tax structure is one of the few ways to ensure you are not left paying the bill.
At Company Partners, we’ve been simplifying compliance for over 50,000 businesses since 2006, offering a comprehensive suite of services from tax consultation to company registration.
Let us look at 5 Tips to maximise the benefits you can get from your company tax returns in the last minute(s) or for your next submission.
Tip 1: Maximise Deductions and Credits for Tax
Did you know that a thorough review of your IRP6 and IT14 forms could reveal potential deductions and credits you might have overlooked? This step is crucial, as it could significantly lower your tax liability. Think about your personal expenses like medical costs or even charitable donations which allows you to reduce your taxable income. These are areas often missed by the untrained eye. Leveraging the expertise of tax specialists which offer accounting services can be a game-changer here, helping you identify and claim all deductions you’re entitled to.
Practical Example: Let’s consider John, a small business owner in Johannesburg. By meticulously reviewing his IRP6, he discovered he missed claiming deductions for his home office expenses and business travel. With our tailored accounting consultation, John could maximise his return, ensuring no eligible deduction was missed.
Tip 2: Leverage Accounting Packages for Efficiency
A challenge many entrepreneurs face is that they want to do everything themselves. While this is admirable and reduces cost in the short term, you are losing, big time. Time is of the essence, and utilising accounting packages can be a real time-saver. These packages are designed with features like invoice tracking, expense categorisation, and automatic calculations – all tailored for the unique needs of small businesses. By adopting these tools, you can streamline your bookkeeping and tax preparation, reducing errors and ensuring accuracy in your tax returns.
Practical Example: Sarah, who runs a small clothing boutique in Cape Town, switched to an accounting package recommended by us. This move automated her invoice tracking and expense categorization, saving her valuable time during tax season. So now she can rest easy and focus on working on maximising sales.
Tip 3: Don’t Panic, Seek Expert Accounting Help
The complexity of IRP6 and IT14 tax returns can be daunting, especially if you’re not well-versed in tax matters. However, there’s no need to panic. Turning to professional accounting and tax services can take this stress away. Consultations with experts not only clarify doubts, but also ensure compliance and optimise your tax outcomes. Remember, accurate and compliant tax filing is not just about avoiding penalties; it’s about making the most of your financial situation.
This is also required if you want a Tax Compliance Certificate which showcases your compliance with SARS.
Consultation also doesn’t break the bank, as many accounting packages for small businesses incorporate this into their cost models. It’s all about finding what is right for you.
Practical Example: Mark, a freelance photographer, felt overwhelmed with his IRP6 as he hardly works with Taxes or with SARS. After a free consultation with our team, he gained clarity on his tax obligations and potential refunds, turning his anxiety into confidence.
Tip 4: E-Filing for IRP6 is Your Friend
Embrace the digital age and make e-filing your ally to register for your Tax. The South African Revenue Service (SARS) offers a convenient and secure eFiling platform, a far cry from the cumbersome manual filing process. E-filing is not only efficient, but also reduces the likelihood of errors. If you’re unsure about navigating this digital terrain, don’t worry. Accounting services can guide you through the e-filing process, ensuring a smooth and hassle-free tax return submission.
Just remember your SARS Registered Representative is in place!
Practical Example: Consider Linda, a graphic designer in Durban, who was new to e-filing. With our support, her filling profile was setup. Her tax returns where submitted, accurately, and avoided the common pitfalls of manual filing.
Tip 5: Meet the Tax Returns Deadline, Avoid Penalties
The clock has struck and the, and the non-negotiable deadline of 29 February 2024 has passed to submit your tax returns. Filing your IRP6 and IT14 tax returns by the 29th of February 2024 is crucial to avoid unnecessary penalties and interest charges. If you are finding yourself uncertain about the accuracy of your returns, consider seeking immediate professional assistance. Granted the deadline has passed but you can still reduce the impact by submitting as soon as possible to avoid an ever-increasing penalty. Once you have peace of mind, consider looking into more efficient ways to manage your tax returns moving forward. This can notifications on your phone, accounting software or making use of professional services.
Practical Example: Michael, a restaurant owner in Pretoria, was racing against the clock to meet the tax deadline. With our expedited service, he managed to file his IRP6 and IT14 just in time, avoiding late penalties and stress.
Conclusion
As we wrap up these five crucial tips, remember that handling returns doesn’t have to be a source of stress. With careful planning, efficient tools, and expert guidance, you can navigate this tax season confidently. Whether it’s maximizing deductions, leveraging technology, or seeking professional help, each step brings you closer to a stress-free tax filing experience. Don’t hesitate to reach out for a consultation or learn more about available accounting services. Your financial well-being is worth the investment.
Visit the Company Partners website to learn more about their services.
