It`s that time of the year again and you have just a couple of weeks to
fill in your 2000-2001 income tax return. You must send your return to the
Receiver of Revenue by July 10 - or apply for an extension, fast. Otherwise
you will be liable for penalties.
So if you`ve left your return in its envelope in the hope that it will go
away, now`s the time to take it out. To help you fill it in, we`ve compiled
a do-it-yourself guide with the help of the SA Revenue Service (click next
at the end of this article).
Here are some tips from the taxman:
* Be frank with the SA Revenue Service;
* Rather give too much than too little information but don`t supply copies
of every bill you`ve paid - just keep them in case the taxman asks for them
later; and
* Don`t try to ``cook the books`` by leaving things out or swelling your
expenses - the chances are you`ll be caught, probably sooner rather than
later.
Within a few years, the SA Revenue Service (Sars) will have perfected its
new income tax system, giving it electronic links to all sorts of
information. Links to the National Traffic Registry, for instance, will put
paid to any attempts on your part to fiddle your travelling expenses; links
to banks and unit trust companies will make a fool of you if you try to
cheat on interest earned; and links to the JSE will provide information
about your share transactions.
Sars submits each return to a detailed audit once in a three-year period.
If you`ve omitted to declare some of your income, the law allows them to go
back more than three years - which means you could be hit for big sums of
money if you`ve been less than honest.