book with income tax writing

Gautax | Your guide to income tax season 2022

 

 

Income Tax 2022

Gautax looks at the income tax season for 2022 and shares everything you need to know in one place

Must I pay income tax?

For the 2022 year of assessment
(1 March 2021 – 28 February 2022)

You are liable to pay income tax if you earn more than:

  • R87 300 if you are younger than 65 years.
  • R135 150 if you are 65 years of age to below 75 years.
  • R151 100 if you are aged 75 years and older.
book with income tax writing

How do I pay income tax?

Each month the company you work for deducts Tax from your salary.

On your payslip it will reflect as PAYE, then by the 7th of the next month they pay the amount deduced from your salary over to SARS.

Need help with your Tax?

All members of our team are available to meet and answer your questions and assist as they can.

What is a tax return?

An income tax return is a return that will be submitted once a year to SARS to declare all the income you received in the year.

On that total income, SARS calculates the amount of tax you should have paid and then deducts the amount you did pay and the net effect will then be your refund or pay in at the end.

Once you have submitted the return and all your returns are up to date you will be tax complaint in South Africa.

Do I need to submit a tax return to SARS?

If you fit any of the below criteria you are required by SARS to submit a tax return within the allowed time frame of the tax season

  1. All individuals whose income is from one employer.
  2. All individuals whose income is greater than R500 000 for the tax year.
  3. All individuals whose income is less than R500 000 for the tax year if:
    • their source of income is from more than one employer.
    • they receive a car allowance.
    • they have other sources of income.
    • the have deductions they want to claim (medical aid/Ra)
  4. Any natural person who conducted a trade in South Africa
  5. Any natural person that held any funds in foreign currency or assets outside of South Africa that have a combined total value of more than R225 000 at any stage during a tax year
  6. Any natural resident that held any rights in a Controlled Foreign Company
  7. Any natural person who earned interest exceeding the taxable Exemption (Persons
    Under 65 – R 23 800, Persons 65 Years and older – R 34 500)
  8. Any natural person who has Capital Gains or Losses Exceeding R 40 000
  9. Any natural person who receives an allowance such as a travel, subsistence, or office
    bearer allowance or a company vehicle fringe benefit

When must tax return be submitted?

To avoid penalties it is very important that your tax return is submitted within these dates:

1 July 2022 to 30 September 2022 for:

  • Non-provisional Taxpayers who file at the branch

1 July 2022 to 23 November 2022 for:

1 July 2022 to 31 January 2023 for:

Need help with your Tax?

All members of our team are available to meet and answer your questions and assist as they can.

What are the tax return rates for the 2022 tax year?

Tax rates are the values that are payable to SARS by law. Here are the tax rates based on income earned during the 2021 tax year. 

Taxable income (R) ​Rates of tax (R)
1 – 216 200
18% of taxable income
216 201 – 337 800
38 916 + 26% of taxable income above 216 200
337 801 – 467 500
70 532 + 31% of taxable income above 337 800
467 501 – 613 600
110 739 + 36% of taxable income above 467 500
613 601 – 782 200
163 335 + 39% of taxable income above 613 600
782 201 – 1 656 600
229 089 + 41% of taxable income above 782 200
1 656 601 and above
587 593 + 45% of taxable income above 1 656 600

Can I get money back from my tax return submission?

Depending on your monthly contributions and expenses, there are a few ways that your tax payable can be reduced and therefor money maybe paid back to you from SARS.

Rebates

The primary, secondary and tertiary rebates (deductible from tax payable) were increased to the following:

  • R 15 714 Per year for all individuals
  • R 8 613 for taxpayers aged 65 and over
  • R 2 871 for taxpayers aged 75 and over

Medical tax credits

Monthly tax credits for medical scheme contributions were increased to the following:

  • R332 per month per beneficiary for the first two beneficiaries
  • R224 per month for each additional beneficiary

What is SARS Auto-Assessment?

An Auto-Assessment is a pre-calculation of your tax obligation by SARS based on the information provided to them by 3rd parties. To agree to the pre-calculation, you log into your efiling and Accept the auto-assessment. If you do not agree there is still an Edit function on the assessment.

 

Taxpayers, your tax matters, SARS continue to make it easier for you to comply.  Starting July, SARS will be assessing a significant number of taxpayers automatically.  If you accept the auto-assessment then SARS automatically files the return on your behalf, you then don’t need to do the return yourself. This enables you to view, accept or edit your proposed assessment from the comfort of your home or place of work using eFiling or SARS MobiApp.


SARS auto-assess returns based on the data we receive from employers, financial institutions, medical schemes, retirement annuity fund administrators and other 3rd party data providers. If you have not yet received your IRP5/IT3(a)s and other tax certificates like medical certificate, retirement annuity fund certificate and other 3rd party data that are relevant in determining your tax obligations, you should immediately approach your employer or medical scheme or retirement annuity fund or other 3rd party data providers to make sure that they have complied with their submission requirements.

Gautax Pro Tip:

Auto registration for Personal Income
When you register for SARS eFiling for the first time and you do not yet have a personal income tax number, SARS will automatically register you and issue a tax reference number.

Gautax will take care of it all

Sit back relax and let us handle your personal income tax return submissions for you. We will follow best practices to get you, our client the best possible result. That is keeping you up to date with SARS laws and possibly more returned to your pocket than you thought possible. 

2 Simple Steps

Step 1

Call us on +27 (0)11 454 2099 or complete our online application form.

Step 2

Get the following relevant documents ready to send to us. Then sit back and relax

  • Copies of all IRP5’s/IT3(a) – excluding ones prepared via Gautax monthly payroll services.
  • IT3(b)/IT3(c) for interest and Capital Gains Tax Income. ( all Bank accounts and Investments)
  • Retirement Annuity Certificates.
  • Medical Aid Tax Certificates.
  • Details of medical expenses paid by you and not covered by your medical scheme
  • Foreign Dividends and Interest.
  • Completed confirmation of diagnosis of disability
  • Did you sell, buy or rent out any property? Then we need all the relevant info.
  • Logbook with the vehicle details (a logbook is a mandatory requirement if you receive a travel allowance)
  • Commission/Contractor summary of all expenses incurred in the production of Income
  • Sole Trader Income and expenses if trading as a business.
  • Home-Office Claims
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