With the 2017 tax season opening in less than a month (1st July), you should be getting your IRP5 from your employer shortly. Have this on hand when filing your tax return.
There are some common expenses, but sometimes overlooked, that are tax deductible:
- Expenses not reimbursed or claimed from medical aid
- Keep track of all pharmacy, Doctors, Hospital receipts and medical aid statements
RETIREMENT ANNUITIES AND/OR PENSION FUNDS
- Contributions made during tax year to these Funds
- Get tax certificate from your Fund
- Claim for travel km’s, fuel, insurance, vehicle maintenance and licence fees if receiving a travel allowance from employer or if more than 50% of income is commission based.
- Keep and vehicle logbook and all receipts
RENTAL INCOME EXPENSES
- Claim interest on bond, rates & taxes, insurance, agency fees, garden services, repairs, security and other expenses incurred in the production of the rental income.
- Keep all receipts and tax certificates
- Personal items used for work purposes like laptops, cellphones and other devices
- Write off allowance ranges from 20-50% or even 100% depending on price of item
- Keep receipts as verification
HOME OFFICE EXPENSES
- Where an employer allows an employee to work from home and spend more than half its working hours at the home-office at an exclusive area in the home that is specifically equipped for an office.
- Can deduct rent, interest on bond, repairs to the premises, rates and taxes, cleaning, wear and tear and all other expenses that are in the production of the employment income – calculated based on a percentage.
There are more deductions available to individuals. Make sure find all your claimable expenses to ensuring you pay the least tax and maximize your potential for a refund.