Carampako provides cost effective, accurate, and legitimate taxation solutions and services to our clients including business (private companies, close corporations), trusts, non-profit organisations, sole proprietors, and personal tax for individual and families.
The tax environment is dynamic and demands constant attention to changes such as with statutory requirements or change on emphasis placed by SARS as they implement Government policy. Lately there has been a shift from tax planning towards tax risk planning, as legislation is amended and with and more emphasis being on compliance.
Effective advice on Tax Returns and Strategy means knowing the tax code, what’s changed and what’s in or out. If there is a coming change to the tax code, we know about it first and we can help you to plan accordingly so that it does not affect your business. Valuable information about tax exemptions or tax breaks can be the difference between the success and failure of your business.
At Carampako we are the first to advice clients about the impact of these changes, and assist with decision making and planning in line with Government requirements. Our tax experts ensure that our clients are not exposed to potential or unnecessary risk with South African Revenue Services.
Carampako compliance team:
- Ensures that you meet all your legal obligations in relation to completing and submitting your tax returns
- Reviews income tax assessments and statements of account as well as maintain comprehensive tax records.
- Conducts accrual reviews ensuring fair presentation of the taxation section of a company’s annual financial statements.
- Lodges enquiries, objections and appeals with SARS when necessary
We work in accordance with the ethical framework applicable to our profession, as well as our own firm’s stated purpose, values and code of conduct
- ongoing development and operation of a tax system that is fit for purpose and understood
- assist with informed, balanced and considered decisions on tax
- provide strategic tax advice in the broader stakeholder context including tax incentives introduced by Governments
- liaise closely with our professional associations to maintain the quality of our tax advice and to ensure that it is undertaken within a robust ethical framework
- We welcome comments on the work that we do and continually look for ways to ensure that these frameworks are relevant, up to date and operate to the highest standards
CORPORATE TAX CONSULTING
We conduct corporate income tax reviews as standalone reviews or as part of tax accrual reviews, tax optimisation reviews, and tax due diligence reviews. Our corporate tax specialists issue written opinions on all corporate income tax and capital gains tax issues including:
- Business-exits, disposals and valuations
- Depreciation allowances
- Dividends tax
- Group restructuring, mergers and acquisitions
- Profit extractions
- Shareholder and owner issues
- Tax health checks
- Tax risk frameworks
- Tax incentives
Business Tax Planning
Business Owners pay taxes regularly, therefore focusing on tax planning should be a regular occurrence. Carampako is proactive in tax planning. We evaluate the financial situation and help our clients to capitalize on legal opportunities to lower their taxes.
Tax planning examines the potential of all deductions, exemptions, allowances and rebates according to laws and regulations and ensures that tax liability is reduced whilst compliance is practiced.
Tax consulting for South African employers. This would include tax opinions on all South African taxable items relevant to employees. These opinions would include the employer’s employees’ tax compliance thereon, payroll compliance items, tax risk management items and best practices on employee remuneration.
With Tax advice from Carampako there is complete tax risk free approach to employee remuneration, whilst providing the employee with the best possible salary and tax structuring.
Tax Advice and Solutions from Specialists in the Tax and Accounting Profession
Personal Tax Planning
Effective personal tax planning is an ongoing process that requires up to the minute knowledge and continual monitoring of current tax and potential changes to tax legislation. No two planning strategies are the same.
Below are some of the areas where SARS allows taxpayers to reduce their overall liability:
- Reduce tax by topping up retirement annuities. Up to 27.5% of taxable income, capped at R350,000 per year, can be deducted from your income personal income tax in respect of retirement annuity contributions made before 28 February
- Reducing your tax by donating to the family trust. Every individual taxpayer may make donations of up to R100,000 annually free of donations tax. These donations must be made in cash or kind. If you are using a trust for estate planning (or any other) purposes, such donations can be made to the trust. This has the net effect of lowering the individual’s personal estate and increasing the assets of the family trust
- Using a tax-free investment account to benefit from long-term tax savings. In March 2015 the government introduced a tax-free investment product to encourage South Africans to save after-tax money. Individuals can invest R33,000 per year (up to a maximum of R500,000 over your lifetime) and benefit from growth free of dividends tax, income tax on interest and capital gains tax
- Taking advantage of the annual Capital Gains Tax exemption. Individuals are currently entitled to an annual exclusion of R40,000 on any capital gains earned during the tax year. By selling growth assets before year-end (eg. unit trusts) and re-purchasing them shortly thereafter, the tax-payer can capitalise on this annual exclusion and increase the base cost of his or her portfolio. Increasing the base cost of the portfolio, the eventual Capital Gains Tax on disposal of the assets is reduced. Transaction costs will have to be factored into making this decision.
Tax Structure Assessment can recommend:
- How to earn higher investment returns and pay less tax
- How to take full advantage of the tax benefits of various products
Offshore Tax Structure Assessment can recommend:
- For high net worth individuals the benefit of diversifying a portion of their assets into an offshore investment scheme
- Offshore potential in hedging against domestic currency and sovereign risk
- Tailored international portfolios
- International trading account
- Portfolio of international mutual funds
Other tax advisory:
- Impacts and strategies to the changes in legislation concerning Wills and Trusts
- Tax legal assistance e.g. when the assessment you receive back from SARS reflects a different result from the one you anticipated. Carampako assists you in submitting a request for correction
What are your tax rights?
- First establish if you have made an error or omission on your tax return, or if you believe SARS has captured your information incorrectly to reach their assessment, you can submit a Request for Correction
- If however your return has been captured correctly, but you disagree with the treatment of amounts by SARS, you must lodge an objection:
- Submit an objection, which SARS may allow, in full or partially, or may disallow
- Appeal against SARS’s decision to disallow any part of the original objection.
- The appeal can proceed via the Alternative Dispute Resolution (ADR) process, a hearing by the Tax Board and/or a hearing by the Tax Court.
- The appeal process is governed by chapter 9 of the Tax Administration Act (TAA), as well as the rules promulgated under section 103 of the Tax Administration Act as published in the Government Gazette on July 11, 2014.
- These provisions and rules set out the rights and obligations of taxpayers and SARS in respect of the time limits within which the objection and appeal procedure must take place. The time period is given in business days, which are defined in a specific way for the purposes of the dispute-resolution process.
Contact us for advice about Business tax and personal tax.