SMALL BUSINESS RELIEF

We realise that new business and small business are the life blood of our economy. So we know we must encourage their growth and ensure they prosper. There are certain tax incentives especially designed for small business. A small business that qualifies as a small business corporation SBC pays no income tax on the first R67 111 taxable income for financial years ending on any date between 1 April 2013 and 31 March 2014. The rate of tax you pay will depend on taxable income as the rates for a SBC are progressive the higher the taxable income, the higher the tax rate. Tax rates 01/04/2013 – 31/03/2014 ​Taxable income Rate of tax​R1 – R67 111​ ​0%​R67 111 – R365 000 ​7% of the amount above R 67 111R365 001 – R550 000​ ​R20 852 + 21% of the amount above 365 000R550 001 and above​ ​R59 702 + 28% of the amount above R550 000 Micro businesses that qualify should consider registering for Turnover Tax as this will reduce and simplify their tax compliance and administrative burden.

via Home.

Leave a Reply

Your email address will not be published.