PRETORIA - The South African Revenue Service (SARS) on Tuesday announced that all taxpayers whose total employment income is less than R500,000 will not be required to submit their income tax returns this year, but they will still be paying tax.
Edward Kieswetter, SARS Commissioner, said that the revenue service had decided to increase the income tax threshold from R350,000 in a bid to alleviate the burden on taxpayers.
"We have decided to increase the threshold from R350,000 to an annual earnings of R500,000. And this means you are not required to submit a return if your total income for the year is not more than R500,000," Kieswetter said.
"So when you have a simple return below R500,000 with no additional complexities, you will not be required to file. And we will send an SMS to this group of taxpayers who are not required to file and we encourage taxpayers to heed this call as it is intended to really simplify matters for them."
Kieswetter also said that taxpayers who would not be required to file their income tax this year included those who only received an income from a single employer; those who have no other form of income such as car allowance, business income, taxable interest, and rental income; and those that do not have any additional deductible income such as medical expenses, retirement annuity contributions, and travel expenses.