MY TAX GUY: Financial Accountant in Practice and Tax Practitioner

25/06/2026

To VAT or not to VAT.

With the VAT threshold being lifted to R2.3 Mil or R120k, there is a good few reasons to register for VAT, but honoustly less reasons for the small business.

So... As soon as you register for VAT, your invoice just bacame 15% more expensive. Y+That means that 100 % of your 15% increase in sales, is payable by the end of your VAT period. This is normally bi-monthly ending in evens or odds.

The flip side is that if you have to pay this VAT, your VAT registered Customer can claim 100% of his 15% from SARS as Input tax.

So, what is the problem?

If you do business with a Company and your sales price was R100.00, your new sales price is R115.00. Great if they are VAT registered, but if they are not, you just added R15.00 to your cost.

With the margins in the current economic climate being hair thin, 15% may cost you the upperhand in favour of a none VAT vendor selling at even R110.00.

VAT is good for a Company with qualifying Assets, buy large volumes from Vendors and sell to registered vendors.

If you consider registering for VAT accept that the VAT Administration Act is one of the Acts in SA Legislation that has teeth.

Call now to connect with business.

14/02/2026

Application of Article 200.

When a qualifying tax payer is heavily indebted to SARS for a sum of money that may include:

Provisional tax
Assessed tax
Vat
Penaties on these taxes
Administrative penalties

a tax payer may approach SARS to ask for a Compromise to reduce the debt payable.

A “good faith” payment may be required and a settlement amount agreed upon.

You as Taxpayer will have to submit a host of documents, and when married in community for a natural person, your spouse will have to submit the same.

You can do this on your own, and also heart surgery, but both are ill advised.

Make a booking. Let me help you.

Accountants Who Put You and Your Business First Book Now With over 20 years of experience, My Tax Guy is your trusted partner in financial growth. Whether you’re just starting or managing a well-established company, we’re here to add value and help you stay compliant and profitable. We are for B...

29/09/2025

28/08/2025

So we have the normal tax payer, all we can really do is give then an allowance to deduct expenses incurred for business purposes...

Then we have the Commission earner who can deduct certain expenses, if they earn more than 50% commission...

Then we have the small business trading as a Sole Proprietor, who can claim all the expenses that is so closely related to his trade, that without these transactions, he would not be able to earn Taxable Income...

The question is: Who should we Tax to death?

Before you answer. Take into consideration that operation "Amabillions" is up and running.

So every one should be taxed to death; is the answer. But there is another part to it:

The SARS web has been thrown over the ever expanding crypto-currency-traders.

And they are not done yet.

SARS is now going after content creators as well.

There once was a very wise man from whom I learnt: "If you don't understand the transaction, and can not understand the transaction without encurring significant effort... You either have to become an expert on the subject, or avoid it totally".

Next I will discuss some Company stuff.

Accountants Who Put You and Your Business First Book Now With over 20 years of experience, My Tax Guy is your trusted partner in financial growth. Whether you’re just starting or managing a well-established company, we’re here to add value and help you stay compliant and profitable. We are for B...

28/08/2025

About 9 years go, the newly appointed SARS commissioner, Mr. Kieswetter made a bold statement that “accountants are stealing from SARS”, and to combat this, he is going to look into the two major fraud “vehicles” existing at that time; being Trusts and Closed Corporations.

Mr. Kieswetter hired 4 chartered accountants to specifically look at the Income Tax Act and give recommendations to stop “accountants stealing” (in a legal manner), and increase the income generation potential of SARS on behalf of DTI.

So their target were the two major fraud vehicles used in the South African financial tax structuring arena; Trusts and Closed Corporations.

Closed Corporations are now subject to audit if the P*S (Personal Interest Score) is above 350, and Review if between 100 and 350. The Act states that if you are a Member of a CC, and you have not appointed an Accounting Officer, or did not have an Accounting Officer for a period of a year, you as Member will be personally responsible for the performance of the CC, and you may not rely on the juristic person defense for any loss incurred during either of the both scenarios.

As for Trusts, well, let’s just say that SARS has released a number of Interpretation Notes. One such note is the addition of Article 7C to the Tax Act which regulates loans between Trusts and Companies.

Before you could willy-nilly loan money between two entities, being a Trust and a Company, with no real effect on interest rates being charged. All you had to do is disclose the amount on your balance sheet, and say interest is calculated from time to time.

Now there are a host of possibilities all aimed at charging interest at Prime + 1% p.a.

Tax is becoming a mine field, and you may be in violation of new additions to the Act.

26/08/2025

Advocating for South Africa

25/08/2025

We are starting new...

New page, New Website , Future proofing, well, at least for now...