Six million South Africans face the convenience of auto-assessment during tax season, but are they risking costly mistakes, asks Sanjith Hannuman.
Six million taxpayers, one click — and the mistakes nobody is checking for, writes Sanjith Hannuman.
LAST year, I wrote in these pages that what appears to be a shortcut is not always the best route for your wallet. Twelve months later, SARS has proved me both right and wrong - and if you are among the six million South Africans receiving an auto-assessment this season, you deserve to know which is which. So let us walk through the good, the bad, and the ugly of letting SARS do your homework.
Let me start with a number that should impress even the sceptics. Within the first two weeks of this tax season, SARS auto-assessed 1,9 million taxpayers and paid out roughly R8 billion in refunds - most landing in bank accounts within 72 hours. No queues. No forms. No stress. For millions of salary earners, tax season came and went with a single SMS.
For readers new to this, an auto-assessment is exactly what it sounds like. Instead of you completing a return, SARS completes it for you, using information it already receives from your employer, your medical aid, your retirement fund, and your bank.
