During a media briefing in Pretoria, new SARS Commissioner, Edward Kieswetter, announced that the tax threshold has been increased from R350 000 to R500 000 a year.
In monthly terms that represents an increase of R29 166 to R41 666. However, it’s not all plain sailing for those who earn less than R500 000 annually. The new threshold laws (which means that there will be no need to submit one’s IRP5 and other tax related documents) is only applicable to citizens if they meet the criteria listed below:
• Receive income from one employer only.
• Have no other form of income, such as a car allowance, business income, taxable income or money made from renting.
• Have no additional deductible allowances, such as medical expenses, travel expenses or retirement annuities.
Kieswetter encouraged more citizens to use SARS’ e-filing systems. He revealed that the programme has gone through several updates, and more improvements will be in place by August. One of the incentives for using the e-filing systems is that they help with time management. The tax season will start on 1 August and end on 31 October, but electronic applications start at the beginning of July and remain open all the way through until the last day of January 2020.
It’s also worth noting that returns filed via SARS’ app have a deadline of 4 December 2019. Depending on what you’re earning and the new tax threshold, this could be a trouble-free season for many of SA’s workers.