Before you go into part 2…
In Part 1 of this two-part exposé on how to actually save tax, we ran you through some of your options for managing your tax liability. Without spoiling the fun, this generally required you to make certain decisions about what you spend your money on, and how you choose to invest for the long-term. If you haven’t yet read it, then please do yourself a favour. Your future self will thank you.
We now deal with the all-important: who?
If you’re climbing Tax Mountain, take a Sherpa.
We mentioned in the past, that finding a solid and capable advisor to help you with your tax submission is a real ‘must’. Admittedly, finding a qualified tax advisor can be costly. You must agree that it would be unfortunate for the cost of good advice, to prevent someone from getting access to some quality skills?
Completing one’s own tax return can be daunting and even more depressing should you ever go into a SARS branch office for help. Never mind that if you make a misstep and end up having to go to SARS in person, you’ll be there long enough to raise whole generations in that queue.
Without trying to sound too over-qualified to contribute to WellSpent, this author has been practicing as a senior tax advisor to a globally listed company for more than 12 years, has 2 degrees in Tax, generally thinks himself a fairly capable individual, but yet I constantly make errors with my own tax return.
So who then to turn to, to plug the gap?
TaxTim: Tax submission for people who don’t know how to submit their taxes.
For a while now, we’ve been keeping our eye on a company called TaxTim. TaxTim have been around for more than 6 years, so you know they’re legit, and have a point to prove.
They offer an ingenious service, whereby you can complete your tax return through their super easy-to-use website, and have your tax return populated by their system, and have it submitted directly to SARS!
This has to be the most amazing thing ever!
If you’ve ever requested your tax return on SARS E-Filing and didn’t know your IRP5 from your IRP6, this site is amazing.
The mental stamina and patience required for correcting mistakes with SARS can take months and people generally don’t like to deal with SARS for longer than about ten seconds, so the fact that TaxTim allows you to import your IRP5 directly into their system and have your tax return submitted directly to SARS, is worthy of an immense, countrywide slow-clap.
So what does this have to do with saving tax?
All of the questions that TaxTim prompt you for when you’re going through their process, are all designed to make sure that you get every deduction, allowance, and rebate that you’re entitled to. All too often, taxpayers miss out on opportunities to save tax as they either don’t know they are eligible for a deduction, or they give the incorrect information. TaxTim makes sure that this never happens.
Part 1 of “How to pay less tax” was all about making clever investment decisions and managing your wealth, now it’s about getting the right people to help submit your tax return so you get what’s due to you.
Let’s get down to brass tax
We’re always conscious about costs, and there would be no point in recommending this service if it cost you a month of cappuccinos! At the time of writing this article, a basic tax return submission will cost you R186, and a slightly more complex one R261 through TaxTim. That’s the Streetwise Combo/Wacky Wednesday/McCheapmeat of getting tax advice, in terms of value.
In keeping with our desire to offer our WellSpent readers something more than just words on a page, we have chatted to the nice people at TaxTim and can offer all our readers a code that can be used for a 10% discount when you pay for your TaxTim return.
The voucher code is: WELLSPENT19
Check it out for yourself
We don’t want to write much more about TaxTim, as they’re better at explaining how their product works. Give their site a visit here. Suss out the nuts and bolts, and don’t forget your 10% discount voucher – WELLSPENT19
So there you go! I’m personally very excited about TaxTim going forward as I can now tell all those family and friends who inevitably ask me to do their tax returns for them, that there is someone better to do it.
Good luck on your mission to save tax. May you always get a return.
We’ve written quite a few other great pieces on how tax affects your various investments and retirement outcomes – here they are:
- How to pay less tax – Part 1
- Paying tax when retired
- Tax on units trusts
- Tax on retirement annuities explained
- Tax on Life cover and income protection
- Tax on interest
- Should I get a tax-free savings account?
- How is your provident fund withdrawal benefit taxed?
- The quest for the highest after-tax returns