Did you know that small businesses get preferential treatment from SARS who, to quote their FAQs, “recognises the vital role small businesses play in stimulating economic activity, creating jobs, alleviating poverty and improving the living standards of all in South Africa.” Unlike normal companies who pay a flat 29% tax SME’s earn the first R40,000 tax free and only pay 10% on the R40,001 - R300,000 bracket. In addition to this SME’s are allowed to depreciate business assets valued under R5,000 immediately and SARS are extending a tax amnesty to certain wrong doings prior to March 2005.
If you had previously not qualified as a small business (in the eyes of SARS at least) then it could be that now you do has the annual turnover limit has been increased from R6 million to R14 million.
SARS publish a handy little set of FAQs (Frequently Asked Questions) answering such questions as “I want to start a business. What type should I set up?”, “What are the tax rates for small businesses and their owners?” and “What qualifies as a small business corporation?” that you can download here:
Well April Fool’s Day came and went without too much incident. I think this was something to do with it being a Sunday rather than a workday and who want’s to waste a perfectly good weekend setting up elaborate hoaxes? Google.
Google chose yesterday to announce the TiSP. Free broadband via your toilet. The user drops […]
The department of trade and industry’s broad-based BEE codes of good practice, approved by cabinet in December, were gazetted last month (February 2007).
There is good news for SMEs with them falling into one of two categories being either an Exempt Micro Enterprise (EME) or a Qualifying Small Enterprise (QSE). An EME is an enterprise whose […]