Brenthurst Wealth Management Logo

CALL US NOW TO DISCUSS YOUR FINANCIAL PLAN

RSS icon
JHB HQ: +27 (0)11 799 8100   SANDTON: +27 (0)10 035 1391   PTA: +27 (0)12 347 8240
CPT: +27 (0)21 418 1236   BELLVILLE:+27 (0)21 914 9646   STELLENBOSCH:+27 (0) 21 882 8706
Brenthurst Wealth Management

SERVICES

Tax Planning

Tax is closely related to investments and personal finance, and therefore it made sense to add a tax- advisory service to the service offering of Brenthurst Wealth Management.

In addition to tax advice on investments and any other personal tax matters, Brenthurst also offers clients an e-filing service of provisional tax returns and payments.

Other tax services offered include:

  • Income tax registrations
  • Company tax registrations
  • Completion and submission of income tax returns
  • Tax calculations
  • Advice on tax planning and salary structuring
  • Tax directives
  • Disputes with SARS

Deadlines for submitting tax returns: 2017

  • 01-04-2017: Start of Annual Employers Tax Season
  • 30-05-2017: End of Annual Employers Tax Season
  • 01-07-2017: Start of  2014 Tax Season for Individuals
  • 30-08-2017: Submission and Payment of 1st Provisional Tax for 2017
  • 01-09-2017: Start of Interim Employers Tax Season
  • 31-10-2017: End of Interim Employers Tax Season 
  • 21-11-2017: End of Tax Season for Individuals

(Electronic filing via eFiling & Branches for non-provisional taxpayers)

Provisional taxpayer  will be able to submit from the 01 July 2017 to the end of Jan 2018

BUDGET SPEECH 2017, Personal income tax: This is what you’ll pay!    Friday, 24 February 2017

National Treasury has proposed the introduction of a new top personal income tax rate of 45% for individuals with taxable incomes above R1.5 million.
It is estimated that 1.4% or roughly 103 300 registered taxpaying individual taxpayers will fall into this category during the 2017/18 tax year accounting for about 26% of the overall income tax payable. The previous top bracket of 41% was set at R701 301.

Finance minister Pravin Gordhan steered clear of a VAT rate hike during his 2017 Budget Speech, with R16.5 billion of the additional tax revenue of R28 billion coming from the new super tax bracket (R4.4 billion) as well as granting only partial relief for bracket creep (R12.1 billion). Bracket creep is the increased real tax liability that arises when personal income tax tables are not fully adjusted to account for inflationary increases in wages.

Nazmeera Moola, economist at Investec Asset Management, added that while there will be a lot of discussion around the new 45% tax bracket for those earning over R1.5 million a year, the bigger income tax story is the lack of any relief for inflation. In other words, tax brackets were not adjusted and so people will, in real terms, be paying more tax on the same income.

“If there had been full provision for inflation in terms of bracket creep relief, the total impact would have been R14.5 billion,” she noted. “But what we’ve actually been provided with is only R2.5 billion. The R12 billion difference is effectively a real tax.”

An increase in the dividend withholding tax rate from 15% to 20% is estimated to yield another R6.8 billion. Tax revenue collections have under performed and are estimated to grow by 7% in 2016/17 compared with 9.8% projected in the 2016 Budget.

“Robust revenue collection depends on strong economic growth and effective tax administration,” Treasury said.

“The tax-free threshold will increase from R75 000 to R75 750. However, since the increase is below the expected level of inflation, taxpayers will face a real increase in the effective personal income tax rate in 2017/18. This also requires a four percentage point increase in the tax rate for trusts,” National Treasury said.

To counter the impact of effective personal income tax rate increases, Gordhan provided relief in the affordable housing market through an increase in the threshold above which transfer duty is paid from R750 000 to R900 000.

The annual allowance for tax-free savings accounts will be increased from R30 000 to R33 000 per annum.

While the minister indicated that the medical tax credit would be increased in line with inflation, he noted that consideration is being given to possible reductions in this subsidy in future, as part of the financing framework for National Health Insurance. The credit for the first two beneficiaries will be increased from R286 to R303 per month and for the remaining beneficiaries from R192 to R204 per month.

National Treasury kept its GDP growth expectations unchanged at 1.3% for 2017 rising marginally to 2% and 2.2% in 2018 and 2019 respectively.

“Our growth challenge is intertwined with our transformation imperative. We need to transform in order to grow, we need to grow in order to transform. Without transformation, growth will reinforce inequality; without growth, transformation will be distorted by patronage,” Gordhan said.
By Ingé Lamprecht


RA’S REMAIN A GREAT WAY TO SAVE FOR RETIREMENT.
THE BENEFITS ARE AS FOLLOWS:

  • Contributions are tax deductible within certain limits.
  • There is no income or capital gains tax applicable during the term of the investment.
  • Unclaimed contributions can be deducted on retirement.
  • At retirement, the remaining value (min two-thirds) can be transferred to an annuity on a tax-neutral basis.

 

Should you require any additional information or assistance with the completion and submission of your annual tax return please feel free to contact Gavin Butchart  on (011) 799 8100 or email gavinb@brenthurstwealth.co.za

In the event that you submit your return after the deadline you will face an administrative penalty of at least R250 per month that your return is outstanding!

 


 

CONTACTS

For tax disclosure application forms, telephone the South African Revenue Service (SARS) on 0800 00 7277, visit any SARS branch or email vdp@sars.gov.za Applications can also be submitted via eFiling. For more information about the tax Voluntary Disclosure Programme (VDP), visit www.sars.gov.za

Exchange control disclosure application forms can be downloaded from the website of the South African Reserve Bank, www.reservebank.co.za For any exchange control VDP-related queries, contact the Financial Surveillance Division on 012 313 3169 or email SARB-VDPFNS@resbank.co.za

© 1999 – 2010 Independent Online. All rights strictly reserved.
Independent Online is a wholly owned subsidiary of Independent News & Media. Reliance on the information this site contains is at your own risk.

johannesburg

(fourways)

Tel: +27 (0)11 799 8100 Unit 2B, Cedar Office Estate,
Cedar Road, Fourways, SA

JOHANNESBURG

(SANDTON)

Tel: +27 (0)10 035 1391 The Business Exchange, Block 4, 150
Rivonia Road, Sandton, Gauteng, SA

PRETORIA

(ERASMUSKLOOF)

Tel: +27 (0)12 347 8240 494A Lois Avenue,
Erasmuskloof X3, Pretoria, SA

CAPE TOWN

(DE WATERKANT)

Tel: +27 (0) 21 418 1236 29 Chiappini Street, De Waterkant,
Cape Town, 8001, SA

BELLVILLe

(TYGERVALLEY)

Tel: +27 (0)21 914 9646 Tyger Waterfront Terraces Block 2,
Carl Cronje Drive, Bellville, SA

STELLENBOSCH

(central)

Tel: +27 (0) 21 882 8706 97 Dorp Street, Unit 3,
La Gratitude, Stellenbosch, SA