Taxes And Remuneration Flashcards
What are direct taxes?
Taxes paid straight to SARS for income earned.
What does SARS stand for?
South African Revenue Service
What should a person earn, at least to pay taxes?
R7000
What does SITE stand for?
Standard Income Tax on Employees
What do all employees pay SITE on
They pay tax on the income they receive
What does PAYE stand for
Pay as you earn.
What is taken into account when paying PAYE taxes
How much is earned
Are Fringe Benefit taxes Direct or indirect explain.
Direct, because the taxes go directly to the South African Revenue Service.
Capital Gains tax is ____________ __________.
Taxes paid for the sale of assets that appreciate.
What are indirect taxes
Tax not paid directly to the South African Revenue Service.
What does VAT stand for?
Value added tax
What is the percentage that VAT stands for on the sale of goods?
15%
What is value added taxes
Taxes on the sale of goods
What is sin tax
Tax on harmful substances that are consumed.
What are import and export taxes
Tax on the sale of goods from other countries and goods sold to other countries.
What is Sugar tax
Taxon the sale of goods containing sugar that is not naturally present.
What are Zero rated items.
Goods that are not taxed because they are considered to be essential to the public.
Give examples of zero rated goods.
- Brown bread
- maize
- eggs
- milk
- poultry
- rice
- fruit and vegetables
What is remuneration
Income for the government.
What is the main source of tax
PAYE
What is Cost to Company?
A lump sum amount of money for a year’s work.
What is salary plus benefits?
The monthly cash amount that also includes benefits.
Give an example of Salary plus benefits?
Bonus, housing. Company car, medical aid, pension
What is the tax calculation formula.
Tax = Level +(salary -bracket) x 0,36
