Dividend Withholding Tax – What It Means for You

dividend-withholding-taxOn the 1st of April, Dividend Withholding Tax (DWT) replaced Secondary Tax on Companies (STC), a form of taxation that was in effect for many years. While the new tax may have an effect on the value of your investments over the long term, it differs from person to person depending on how much you have invested in shares and for how long. The following main points about DWT should make this new tax a little clearer: Continue reading

Northwood Partners With The Tax Shop

The Northwood Group recently partnered with The Tax Shop to offer clients an enhanced range of taxation services. From accounting and payroll solutions to BEE certifications and assistance with DTI incentives, our new venture with The Tax Shop will offer Northwood clients a host of new and improved services that will allow their businesses to expand and run efficiently.
The Tax Shop - taxation Continue reading

How To Issue An Invoice

invoices-taxMany new business owners are faced with something of a challenge when it comes time to issue their first batch of invoices. For VAT-registered businesses, issuing invoices correctly is of vital importance because it has an impact on the bottom line. Without proper tax invoicing, a small business could find itself out of pocket or on the wrong side of the taxman – two pitfalls that can easily be avoided. Continue reading

How to Calculate Provisional Tax

tax - calculate provisional taxWith the 2011 tax season in full swing, people around the country are scrambling to file their returns on time.

If you are a provisional taxpayer, the process is a little more complicated since you will need to calculate how much provisional tax you are required to pay. While calculating your provisional tax may take a little time, the process is not as complicated as some may think. We have provided a quick guide to provisional tax that will help you file your returns on time and with the minimum inconvenience and frustration. Continue reading

Fringe Benefits: Some Are Taxable

fring-benefits-taxableMany companies use fringe benefits as a means of maximising cash flow and providing staff and directors with extra benefits as part of their packages. While this practice frees up cash that would otherwise be paid out, many fringe benefits are taxable. With fines and penalties for failure to declare and non-payment of company taxes becoming increasingly harsh, all business owners should take note of the following taxable fringe benefits:

Giving assets to an employee

This fringe benefit allows a company to transfer ownership of any asset to a member of staff. However, since the value of the asset is normally discounted there may be tax payable on the difference between that value and the normal value of the asset. Continue reading