Pieces of my life experiences , the ups and downs of being an African woman.

Changes to take note of :

Ø  The SITE (standard income tax on employees) is now being faced out because the tax system has now being modernised .

Ø  Furthermore the  Income Tax Threshold (R 59 750 for the year 2012 year of assessment),for tax payers younger than 65yrs , is approaching the site limit of R 60 000

Ø  To ease the impact on affected tax payers (who now have to submit an Income Tax Return),a phasing out process over the next two years of assessment has been introduced ,administrative relief measures are provided for to limit any potential hardship to affected taxpayers

Ø  Tax payers who receive more than one IRP5/IT3(a), form which only SITE (source code 4101) has been deducted , will  now be liable to pay Income Tax for the first time on their combined income.

Ø  The Income Tax payable will be at reduced amount which will be calculated as follows

-          For the year 2012 year of assessment you will pay the calculated SITE amount and one third(1/3) of the additional tax calculated .

-          For the year 2013 year of assessment you will pay the calculated SITE amount and two thirds(2/3) of the additional tax calculated.

-          As for 2014 year of assessment you will be liable for the full tax amount calculate.

Ø  Lastly phasing out SITE will have no effect on payroll systems for the next two years of assessment (2012 & 2013). Employers will continue calculating SITE as per current methods up till the end of February 2013.  As from 1 March 2013 (year of assessment 2014) employers will no longer have to calculate and withhold SITE from taxpayer’s remuneration.