VAT Registration | Sea-Waves Technology

VAT Registration

 

Value-Added Tax is commonly known as VAT. VAT is an indirect tax on the consumption of goods and services in the economy. Revenue is raised for government by requiring certain businesses to register and to charge VAT on the taxable supplies of goods and services. These businesses become vendors that act as the agent for government in collecting the VAT.

 

VAT is charged at each stage of the production and distribution process and it is proportional to the price charged for the goods and services.

 

VAT Registration is levied at the standard rate of 15% on the supply of goods and services by registered vendors. A vendor making taxable supplies of more than R1 million per annum must register for VAT. A vendor making taxable supplies of more than R50 000 but not more than R1 million per annum may apply for voluntary VAT registration. Certain supplies are subject to zero rates or exempt from VAT.

 

There is a limited range of goods and services which are subject to VAT at the zero rate or are exempt from VAT.

 

Who should register for VAT?
Any person that carries on a business may register for VAT. The term person is not only limited to companies but also includes, amongst others, individuals, partnerships, trust funds, foreign donor funded projects and municipalities. In order to register, an application form must be completed and a specific process must be followed.

 

Types of Vat Registrations

  1. Mandatory VAT Registration: As soon as your Company exceeds R 1 million in sales within a 12 months period, it becomes mandatory to register for Vat at SARS.
  2. Voluntary VAT Registration: You can register your new Company for VAT voluntarily if you need a VAT Number.

In order to apply for VAT, the following documents and information is required:

  • CC/Company registration documents.
  • Company and member/director contact details
  • Business description/activity
  • CC/Company needs to be registered for Income Tax.
  • SARS Power of Attorney which gives us the authority to apply for VAT on your behalf (which will be sent to you via email once the order is placed).
  • Certified Clear ID copy of Member(s)/Director(s).
  • An Original letter from the bank confirming the business bank account (must state when the account was opened, with a bank stamp not older than 1 month).
  • Latest original (3) months Bank Statement along with Invoices to your Clients, the total of monthly invoices must be in excess of R50,000 per month for the any one month on the supplied bank statement. These invoices must reflect on the supplied bank statement.
  • Original latest Municipal statement of Account in the Business name, if not available then you can provide the municipality account in the member/director’s name and a lease agreement showing that your company leases this property from the member/director.

Note that SARS can come out for site inspection to verify if the business is trading and its activities.

 

This VAT Registration process takes 2-5 business days. However, if there is a delay from SARS due to excessive workload, the process could take longer.

 

If SARS decides to come for site inspection, the process could take 21-40 business days.

 

When should I submit returns and make payments?

A vendor is required to submit VAT returns and make payments of the VAT liabilities (or claim a VAT refund) in accordance with the tax periods allocated to the vendor. The VAT returns and payments are normally submitted / made on or before the 25th day after the end of the tax period. Late payments of VAT will attract penalties and interest.

 

Cost for VAT Registration: R 1 499.00

Live Covid-19
United States 28,974,623
Cases: 28,974,623
Deaths: 518,363
Recovered: 19,340,329
Active: 9,115,931
India 11,046,914
Cases: 11,046,914
Deaths: 156,742
Recovered: 10,738,501
Active: 151,671
Brazil 10,326,008
Cases: 10,326,008
Deaths: 250,079
Recovered: 9,281,018
Active: 794,911
Russia 4,212,100
Cases: 4,212,100
Deaths: 84,876
Recovered: 3,767,664
Active: 359,560
United Kingdom 4,144,577
Cases: 4,144,577
Deaths: 121,747
Recovered: 2,666,466
Active: 1,356,364
France 3,661,410
Cases: 3,661,410
Deaths: 85,321
Recovered: 253,450
Active: 3,322,639
Spain 3,170,644
Cases: 3,170,644
Deaths: 68,468
Recovered: 2,589,996
Active: 512,180
Italy 2,848,564
Cases: 2,848,564
Deaths: 96,666
Recovered: 2,362,465
Active: 389,433
Turkey 2,665,194
Cases: 2,665,194
Deaths: 28,285
Recovered: 2,540,293
Active: 96,616
Germany 2,416,037
Cases: 2,416,037
Deaths: 69,610
Recovered: 2,226,500
Active: 119,927
Colombia 2,237,542
Cases: 2,237,542
Deaths: 59,260
Recovered: 2,134,054
Active: 44,228
Argentina 2,085,411
Cases: 2,085,411
Deaths: 51,650
Recovered: 1,882,568
Active: 151,193
Mexico 2,060,908
Cases: 2,060,908
Deaths: 182,815
Recovered: 1,614,614
Active: 263,479
Poland 1,673,252
Cases: 1,673,252
Deaths: 43,094
Recovered: 1,397,342
Active: 232,816
Iran 1,607,081
Cases: 1,607,081
Deaths: 59,830
Recovered: 1,372,308
Active: 174,943
South Africa 1,507,448
Cases: 1,507,448
Deaths: 49,523
Recovered: 1,422,622
Active: 35,303
Ukraine 1,325,841
Cases: 1,325,841
Deaths: 25,596
Recovered: 1,159,311
Active: 140,934
Indonesia 1,314,634
Cases: 1,314,634
Deaths: 35,518
Recovered: 1,121,411
Active: 157,705
Peru 1,300,799
Cases: 1,300,799
Deaths: 45,683
Recovered: 1,204,050
Active: 51,066
Czechia 1,198,168
Cases: 1,198,168
Deaths: 19,835
Recovered: 1,046,575
Active: 131,758
Netherlands 1,068,960
Cases: 1,068,960
Deaths: 15,406
Recovered:
Active: 1,053,554
Canada 855,126
Cases: 855,126
Deaths: 21,807
Recovered: 802,926
Active: 30,393
Chile 807,872
Cases: 807,872
Deaths: 20,173
Recovered: 767,332
Active: 20,367
Portugal 800,586
Cases: 800,586
Deaths: 16,136
Recovered: 709,054
Active: 75,396
Romania 791,971
Cases: 791,971
Deaths: 20,167
Recovered: 733,616
Active: 38,188
Israel 765,492
Cases: 765,492
Deaths: 5,673
Recovered: 719,009
Active: 40,810
Belgium 760,809
Cases: 760,809
Deaths: 21,988
Recovered: 51,946
Active: 686,875
Iraq 684,362
Cases: 684,362
Deaths: 13,351
Recovered: 627,718
Active: 43,293
Sweden 647,470
Cases: 647,470
Deaths: 12,793
Recovered:
Active: 634,677
Pakistan 575,941
Cases: 575,941
Deaths: 12,772
Recovered: 539,888
Active: 23,281
Cookie Notification
This site uses cookies to ensure that we give you the best experience on our website. If you continue to without changing your Cookie Settings, we'll assume that you are happy with it.
See our Cookie Policy
Change Cookie Settings
Ok, I like Cookies!
Cookie Notification
This site uses cookies to ensure that we give you the best experience on our website. If you continue to without changing your Cookie Settings, we'll assume that you are happy with it.
See our Cookie Policy
Change Cookie Settings
Ok, I like Cookies!