Category: Compliance
Importance of Compliance
When we speak Compliance, we are speaking on how to essentially avoid what is known as "Red Tape", and this is usually the reason black business are not funded, that setting them up to fail. In order to avoid that, the first thing to Note is that your company documents expire after every 12 months. Specifically, the most sensitive being your SARS Tax Clearance Certificate, and this is because SARS is now working with the banks, thus SARS has access to both your personal and business account. And the sad part, SARS will leave you for years, and come after you thereafter to pay what you owe over 10 years+, and you do not have that kind of money. SARS will reposses every house, car, farm, etc under your name. As a solution, always declare to SARS how much of your Income is used for operating your business, so that SARS can be able to determine what is the amount of money they can Tax you from, which is called "Taxable Income", which we will discuss in our next Blog, let us end this one here for now ..