A Government Gazette 38643 published on 30th March announced an increase to the maximum earnings on which employer assessments for the Compensation for Occupational Injuries and Diseases (COIDA) are calculated. This came into effect on 1st April, and the amount has increased to R355 752 per annum. A schedule to this gazette details the manner in which compensation is calculated.
The 28th of February seems to have arrived in a rush! It feels as if the August 2014 mid-year submissions have only just been completed. The last day of this tax year is Saturday, and payrolls need to be finalised for SARS reporting as of this date.
While there are no changes expected on tax certificates being submitted electronically to SARS, and manually to employees, for the tax reporting period ending 28th February, changes are expected for the interim submissions which will be made for the reporting period which ends in August 2015. We will keep you updated as the details become clearer.
Minister of Finance, Nhlanhla Nene, confirmed on 15th December 2014 that section 10 of the Employment Tax Incentive Act became operational on the 19th December. Section 10 covers reimbursements (Government Gazette (GG) 38346).
Yes, tips are taxable if they are considered to be part of your gross income and must be declared to SARS.
Every time a diner adds a tip to the bill, this income is almost certainly taxable.
While there are a number of definitions around the employer /employee / patron relationship, the interpretation given is that income earned in the course of your job should be declared as taxable earnings.
Of course, monitoring hand overs of cash is almost impossible....
Two case studies direct from the SARS Interpretation Note: No 76