Income Tax Archives - Tax

ACCUSED GUILTY OF TAX EVASION

admin — Wed, 23 Apr 2025 10:50:48 +0000

ASTERN CAPE: On 22 April 2025 Arlene Hayes (55), a representative member of Summer Breeze Liquor CC appeared before the Gqeberha Specialised Commercial Crimes court for contravention of the Tax Administration Act. Hayes and the business entity were served with summons by the Gqeberha Serious Commercial Crime Investigation of the Hawks in a joint efforts with the South African Revenue Service (SARS) on 12 December 2024.

During the period between 2010 and 2023, the accused had an obligation to submit tax returns as well as to complete the Pay As You Earn form on behalf of the company and employees, and then submit all the documents to SARS. The accused was also compelled to submit such documents and contribute to SARS on a monthly basis, but failed to do so. Therefore, SARS constantly reminded the accused, and where she intentionally ignored such prompts, which led to the matter being referred to the Hawks for further investigation.

The investigations by the Hawks confirmed that the accused unlawfully and intentionally failed to submit tax returns and contribute to SARS, which resulted in her being served to appear in court for tax evasion on 12 December 2024.

Hayes made numerous court appearances until she paid admission of guilt on 22 April 2025.

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SUSPECT SET TO APPEAR IN COURT FOR DEFRAUDING SOUTH AFRICAN REVENUE SERVICE

admin — Wed, 02 Feb 2022 08:31:39 +0000

NORTHERN CAPE- A 35 year old suspect was served with summons on Monday, 31 January 2022 by the Hawks Serious Commercial Crime Investigation team on allegation of fraud and money laundering.

South African Revenue Service (SARS) in Kimberley alleges that the main suspect made false entries on Corporate Income Tax returns and Value Added Tax returns between 2016 and 2017. The accused is an accomplice of the main suspects arrested in December 2020. The main suspect is a director of Franti General Trading CC, Mamontobatsi Gloria Sebolecwe. The accused assisted with false submissions to South African Revenue Service resulting in an actual loss of R415 000.

The matter was reported to the Hawks for further probing and the suspect was summoned to appear before Kimberley Magistrate Court on Thursday, 17 February 2022.

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COMPANY FINED FOR FAILING TO SUBMIT TAX RETURNS

admin — Fri, 15 Oct 2021 11:36:52 +0000

WESTERN CAPE – A company operating under the name Meadow Brooks Properties 94 CC was fined R10 000 and R27 000 respectively by the Bellville Magistrates’ Court on 65 counts of contravening Income Tax Act and Value-Added Tax Act while the case against the director was withdrawn.

Investigation by the Hawks’ Serious Commercial Crime Investigation team and the auditors of the South African Revenue Service (SARS) revealed that the company failed to submit income tax returns from 2008 to 2018.

The company pleaded guilty in court on 13 October 2021. The R10 000 fine was suspended for five years whereas the accused must pay R7000 from the R27 000 fine.

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COMPANY OWNER BUST FOR ALLEGED TAX FRAUD

admin — Thu, 16 Sep 2021 11:30:50 +0000

MPUMALANGA – Sibusiso Simon Mlambo (37) a sole owner of the Sbu Mlambo (PTY) Ltd was yesterday, 15 September 2021 released on bail by the Nelspruit Magistrates’ Court. He was charged for fraud, theft alternatively contravention of the Tax Administration Act.
Mlambo was arrested by the Hawks’ Commercial Crime Investigation after a warrant for his arrest was issued. It is alleged that Mlambo submitted fictitious tax returns to the South African Revenue Services (SARS) during the 2020 tax season on behalf of his company. SARS suffered an actual loss of R230 000.
The accused appeared in court yesterday, the same day of his arrest and was released on a R2000 bail. The matter was postponed to 29 September 2021 for legal representation.

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ARRESTED FOR TAX RETURN FRAUD

admin — Tue, 07 Sep 2021 08:48:15 +0000

Anwar Gaffor has appeared in the Palm Ridge Specialised Commercial Crime Court this morning following his arrest for tax returns fraud.
It is alleged that Gaffor submitted various fraudulent tax returns to the South African Revenue Service (SARS) which resulted in the receiver of revenue potentially losing R1 million in 2020. The timeous intervention by the internal auditors ensured that the actual loss amounted to R300 000.
Gaffor has been granted a R1000 bail and the case postponed to 13 October 2021 pending further investigation.
Meanwhile in a separate and unrelated case Adelle Fritz who was a senior accountant also appeared in the same court facing charged of fraud and theft allegedly committed in 2015.
Fritz stands accused of fraudulently approving credit facilities for a company called Siyakhula Electrical for an amount of R500 000-00. Following an intensive investigation Fritz was arrested today on a warrant of arrest. The case has been postponed to 29 September for additional implicated suspects to be accounted for.

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TAX PRACTITIONER WHO FAILED TO SUBMIT TAX RETURNS FINED

admin — Wed, 05 May 2021 08:32:28 +0000

WESTERN CAPE – An Accountant from Mossel bay who for four years failed to submit his personal income tax returns was sentenced on Tuesday by the Mossel bay District Court.

Following a plea agreement with the state, Ernest Michael looch (74), was ordered to pay the state an amount of R16 000 in restitution as part of his sentence. Charges against Looch were failure to submit his personal income tax return for the four year period of 2013 to 2016 tax year.

The court said, Looch should have known better as an expert in the field, he knows that all taxpayers have a legal duty to submit their tax returns and to pay their taxes that are due. “Failing to do so, harms all” the court order read.

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INCOME TAX FRAUDSTER CONVICTED AND SENTENCED

admin — Fri, 16 Apr 2021 10:29:13 +0000

EASTERN CAPE- Ruzaan Botha (45) the sole director of Botha Investment Holdings cc got convicted and sentenced at Gqebera Specialised Commercial Crimes Court on 15 April 2021.

It is alleged that between 2010 and 2014 financial years, Botha failed to submit tax returns for the alleged income of R728 157.62 she earned from the contracts she had with the Nelson Mandela Bay Municipality.

The matter was reported to Gqebera Serious Commercial Crime Investigation team hence her arrest on 10 May 2018. She made her first court appearance on the 11 May 2018 where she was released on bail.

After a number of court appearances at the Specialised Commercial Crimes Court, Botha got convicted and sentenced to R20 000 fine or 4 years imprisonment suspended for 5(five) years.

Major General Mboiki Obed Ngwenya the Hawks Provincial Head commends the team for the success.

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What is employees tax?

admin — Tue, 16 Mar 2021 12:32:18 +0000

Where an employer pays or becomes liable to pay remuneration to an employee, the employer has an obligation to deduct or withhold employees’ tax from the remuneration and pay the tax deducted or withheld to the South African Revenue Service (SARS) on a monthly basis. In most instances, the employer is obliged to issue each employee with an employees’ tax certificate [IRP5/IT3 (a)] at the end of each tax period which reflects, amongst other details, the employees’ tax deducted.

In addition thereto, the employer is obliged to submit an Employer Reconciliation Declaration (EMP501) to SARS.

In terms of Paragraph 3 of the Fourth Schedule, employees’ tax receives preference over any other deduction from the employee’s remuneration which the employer has a right or is obliged to deduct otherwise than in terms of any law.

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Tax Tables for Individuals and Trusts 2022

admin — Tue, 16 Mar 2021 12:24:37 +0000

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Tax Rates 2015

admin — Thu, 26 Feb 2015 08:37:40 +0000

On Wednesday, 25 February 2015, South Africans were told to prepare for higher taxes. The government’s annual budget indicated a 1% increase in personal income tax.

Tax Rates for 2015 is as follows:

Personal Tax

Taxable Income	Tax Payable
R0 – R181 900	18% of each R1 taxable income
R181 901 – R284 100	R32 742 + 26% of taxable income above R181 900
R284 101 – R393 200	R59 314 + 31% of taxable income above R284 100
R393 201 – R550 100	R93 135 + 36% of taxable income above R393 200
R550 101 – R701 300	R149 619 + 39& of taxable income above R550 100
R701 301 and Above	R208 587 + 41% of taxable income above R701 300

Income Tax

The amount an individual can earn before they are required to pay tax has been increased for the tax year that runs from 1 March 2015 to 29 February 2016.

Below age 65	Age 65 and over	Age 75 and over
R73 650	R114 800	R128 500

Tax rebate increases

Primary	Secondary	Tertiary
For all taxpayers	Aged 65 and over	Aged 75 and over
R13 257	R7 407	R2 466

Sin Tax

Excise duties on alcoholic beverages will increase between 4.8% and 8.5%. There are some reforms under consideration that will provide excise duty relief to wine-based spirits.

The increases in excise duties are as follows:

Alcohol:

Malt beer up by:	Fortified wine up by:	Ciders and alcoholic fruit beverages:
7c Per 340ml can	19c Per 750ml bottle	7c Per 330ml bottle
Unfortified wine up by:	Sparkling wine up by:	Spirits up by:
15c Per 750ml bottle	48c Per 750ml bottle	R3.77 per 750ml bottle

Tobacco

Cigarettes up by:	Cigarette tobacco up by:	Pipe tobacco up by:	Cigars up by:
82c Per packet of 20	91c Per 40g	26c Per 25g	R3.09 per 23g

Fuel levy

General fuel levy will increase by:	Road Accident Fund levy will increase by:
30.5 cents	50 cents

This will increase fuel prices by 80.5c.

Medical Schemes

The monthly medical scheme contributions tax credits will increase from 1 March 2015. The first two beneficiaries will be increased from R257 to R270 per month and each additional beneficiary will be increased from R172 to R181 per month. Medical tax credits which are related to medical scheme contributions, will be taken into account for both PAYE and provisional tax purposes.

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