Provisional tax is not a separate tax but allows the taxpayer to pay income tax during the tax year in which the income is earned.  The objective of provisional tax is to help taxpayers meet their liabilities in the form of at least two payments, instead of a single large amount on assessment.

This webinar-on-demand provides an update of the basic mechanics of provisional tax for companies, as well as a comprehensive discussion on some of the more complex areas that need to be considered and applied, including a systematically approach to the completion of the IRP6.

The webinar covers the following:

  1. What is provisional tax? – understanding the purpose of provisional tax.
  2. Who is a provisional taxpayer? – know who should register as a provisional taxpayer.
  3. How is provisional tax calculated? – working through the basic framework for calculating the provisional tax, dealing specific with:
    1. Basic amount
    2. Estimates of taxable income
    3. Foreign tax rebates
    4. Par 23: Provisional tax payments for companies
  4. When must provisional tax be paid? – know when provisional tax is payable.
  5. What is the deferral of payment criteria and agreement terms? – know when an instalment payment agreement can be entered into.
  6. What penalties and interest are applicable per period? – discussing the late payment, late submission, and underpayment penalties as well as the applicable interest sections.
  7. How do I complete the IRP6 on SARS e-filing? – a systematically approach to the completion will be followed.

Practical examples are incorporated throughout the session, explaining all the key principles.

This webinar will contribute 2 CPD hours