How to pay less tax | Employee Series | Tax 101

How to pay less tax in South Africa! Explainer about the deductions available to employees.
SARS Logbook: www.sars.gov.za/TaxTypes/PIT/...
Business contact: [e-mail]
Social Media Links:
Twitter: / andre28071990
Important Links:
sars.mylexisnexis.co.za/ - Tax Legislation
www.sars.gov.za/Pages/default... - SARS website
secure.sarsefiling.co.za/app/... - eFiling Login

[@QuentinWatt]

Top tip: Save some of your money in an RA & you can claim that back with a tax refund. Medical aid too!

[@salomechigubu5360]

Please explain this.

[@Ofentse.M.G.B.L]

Good day Watt, Could you please explain more on this requirement. What is the procedure? My Retirement Benefit is R2000. 00

[@marelafragrances7847]

Thank you

[@amanjumna]

Great information for working from home. Thanks.

[@thomaszondi213]

Thanks for this information 👍👌🙏🙂

[@allieubisse470]

Thanks

[@QuentinWatt]

Good video quality by the way. 👍

[@AndreBothmaTax]

Thanks Quentin!

[@shortsandquizzes1640]

great video

[@AndreBothmaTax]

Thanks

[@nozipho8041]

Thank you for this video

[@AndreBothmaTax]

Pleasure

[@dougf7097]

I have just been watching some of your videos - thank you. Slowly and simply as you have, has helped me a lot! As a teacher working from home during lockdown (we continued classes online) required: a) staying and operating from home. b) the purchase of hardware (graphics tablet) and software (screen recording and editing) c) extensively dependent on a personal computer and internet. Are these regarded as deductions for that period? Are hardware tools (like the computer & graphics tablet) regarded as tools of the trade whether on lockdown or not?

[@shanemeder1]

Hi Andre. Very clear video and makes the process easier to understand. I worked 90% of the year at home due to covid, I'm not a commission worker. I installed a solar system and battery back up due to all black outs. Could I claim depreciation on the expense and if yes how many years would I be able to claim for it? Thanks

[@jenvinlouis3058]

Hi sir, did you make a video showing how to claim from travel expenses on the app. I have a company car as I am a regional at work. On my payslip I am taxed more and was explained that I can claim the cash back from SARS. Please advise how exactly I can do this on the efilling system.

[@ameercader]

Any advice how best to reduce tax as a sole trader

[@theresamarais2614]

Can you still deduct for medical expenses if you do not have a medical aid but pay out of pocket for all your medical expenses.

[@boitumelo8291]

Can I also claim “rent” even though the company has allocated working premises but I choose to strictly work from home?... Great video quality by the way

[@AndreBothmaTax]

As long as you mainly work from home, this shouldn't be a problem. SARS however might ask a letter from your employer that confirms that you mainly work from home.

[@projfocusptyltd4430]

Can an employee, deduct from his taxable income an amount the employer's contributed to his pension fund ( code 4472), and the amount in code 3817

[@fikilemkhize5776]

Thank you for the information. I also heard you can reduce your tax by declaring things like groceries, that way you only pay vat for food. That way, you won't be taxed twice for food, first with income tax, then with VAT. I also heard that you get reductions depending on the number of dependents you have. Lastly, I heard that you may use school fees to reduce tax. You get your employer to pay the fees using your money before it is taxed. How true is all of this? And how do you go about declaring all of this

[@AndreBothmaTax]

You can't claim groceries as it's not a legitimate trade expense for employees. For medical aid tax credits, the more dependent you have, the bigger rebate you get. You can get a deduction for school fees, but it's dependent on your employer.

[@akshaynarshi827]

Any tax deductions for a person with no medical aid?

[@dubesamaita9573]

Hie andre.thanx for the vid. Want to ask how if a person should declare tax on diy stocks if you are selling occasionally on an online platform but not withdrawing .thanx

[@AndreBothmaTax]

The online platform should issue you with an IT3b or IT3c document. That will determine whether you must declare any tax in the sale of shares

[@dubesamaita9573]

@@AndreBothmaTax thank you very much.

[@mondlidlamini22]

Hey Andre... Super helpful channel. Under travel allowance. For business and private travel. What if you are working from home? And travel to a business meeting... Which is business and which is private?

[@QuentinWatt]

If you work from home you can claim back “rent” from your “office” Standard practice is to measure out your office square meters. Then calculate the cost per square meter of your rent or bond and then you can claim that back. For example: If your house is 45square meters and your lounge “office” 15squares. And your rent is R10k. That means 10k / 45 squares = R222 per square meter. If your lounge/office is 15squares then R222 x 15 = R3330. and thats what you claim back.

[@QuentinWatt]

That’s a slightly bigger saving than petrol to a business meeting 😝 and easier to work out since you don’t need a log book

[@AndreBothmaTax]

I would say that going from home to business meeting and back is business km

[@mondlidlamini22]

@@AndreBothmaTax Thank you.

[@fastpoizon]

@@QuentinWatt Hi Quentin - would this then be under 'Home Office Expenses"

[@refilweledwaba3918]

Hi Andre , hope you can assist and pass your knowledge concerning my case,I am permanently employed and also an independent contract at a certain company ,so my issue is since ive started earning commission at this company my tax i now started owing SARS, so what i would like to findout is how many percent should be i be earning as an IC ,so to be able to claim expenses?

[@AndreBothmaTax]

When your commission (code 3606) or independent contracting (code 3616) is more than 50% of your taxable income, you can claim business related expenses.

[@Khwezi_nthoke]

Good morning What about donation to your children and spouse?

[@AndreBothmaTax]

Donations to family members are not tax deductible.

[@joshuabuzzbeetheartist8516]

Hi if I was a temp for 9 months does tax still work as an employee

[@AndreBothmaTax]

It depends whether the employer deducted PAYE

[@adnenefhima2801]

As a foreigner can we deduct the cost of traveling home ones a year ?

[@AndreBothmaTax]

No, unless the travel is specifically for business purposes.

[@ericcastle7296]

Pay it to the A N C