Whilst, in our experience, tax moral is indeed low, SARS is entitled to , and indeed does, levy penalties and pursue criminal prosecution against taxpayers who do not pay tax on time, does not submit tax returns or do not pay the correct amount of tax. The Tax Administration Act, however, allow taxpayers to avoid penalties and criminal prosecution through the Voluntary Disclosure Program (VDP).
The VDP provides qualifying taxpayers with relief from certain percentage based penalties, understatement penalties and criminal prosecution which, but for a VDP application, will otherwise be imposed by SARS.
This process can save taxpayers millions of rands in penalties, not to mention keeping taxpayers out of jail.
The requirements for valid applications are, amongst others, that
The disclosure must involve a previously undisclosed default.
The disclosure must be full and complete in all material respects.
The disclosure may not result in a refund.
Use correct forms and follow correct procedures.
For an application to be full and complete in all material respects it is vitally important to understand the tax law surrounding the non-disclosure in question. Mistakes or incorrect tax positions in an application will result in the taxpayer ultimately not getting relief from penalties and interest.
This process is preemptive in nature. If you already have a penalty imposed, VDP is not available but there are other remedies available (see Tax Penalties)
We have successfully obtained VDP relief for hundreds of taxpayers and saved hundreds of thousands of rands in penalties. We are very comfortable with the process, the pros, cons and tax law surrounding same.
Online Training Course
Voluntary Disclosure Program
We have developed a comprehensive online training course specifically aimed to educate people on the voluntary disclosure program, what it is, the rules that apply and procedures that need to be followed.
This topic covers the voluntary disclosure program, in particular when taxpayers may apply for VDP relief, what the VDP relief and how to apply for VDP relief.
Why Choose us:
We are expert tax specialists with a vast amount of experience. Our experience and tax exclusive policy places us the forefront of tax law. If you have a tax problem/issue, chances are we have dealt it before and know how to handle it to your best advantage.
Expert Tax Specialists
We do not do auditing, accounting or any type of work other than tax. We are truly specialised and indeed experts in the field of tax. If you need a true tax expert, we are the people to speak to.
One of our main drivers is to be efficient. Our experience places us in a position to provide high quality deliverables and faster turnaround times.