A taxpayer is struggling to reconcile his payroll tax account for the periods 2020-01 and 2020-02. It shows outstanding balances. The taxpayer then pays it in order for it to be zero. SARS shows the payment correctly but there is still an outstanding bala
Author: The Payroll Authors Group of South Africa
Important:
This answer is based on tax law year ending 28 February 2021.
Answer:
After investigating the statements of accounts it has been found that when the payment has been made, interest up to the date of the payment date is calculated, which results in the outstanding balance after the payment. In order to ensure that the final outstanding amount is paid, the client should request a statement of account ON THE DATE the payment will be made. However, please note that there is an unallocated payment of R1142.05 made on 2020/01/11 on the account. It is suggested that the client email SARS at the below email addresses in order to request that this payment be allocated to the debit amounts on the 2020/01 and 2020/02 periods. Due to the fact that this payment was made in January 2020, it will have a result that some of the interest levied for the debit periods will be reversed.
Accounts@sars.gov.za
Journals@sars.gov.za