As the tax return season slowly and steadily approaches, many individuals will start receiving their tax certificates from their employers and financial institutions.
In most cases, these detailed documents would be pre-populated on your SARS tax return when the filing season opens. However, it is important to note that this is not always the case. It is key to compare your tax return to your tax documents and manually input any missing data. This is why we recommend that you should always keep your records for a minimum of 5 years.
If you have opted to file your own tax return, you might wonder what documents are required to get started. Each year, SARS expects specific standard documents from taxpayers. Having these on hand will make the process smoother and help ensure your return is accurate and complete.
Below is a list of the essential documents SARS typically requires:
- IRP5 – These will be provided by your employer. If you have resigned from a job, your previous employer will still be required to send this document to you.
- Business income schedules – If you receive business income through a small business you own or if you are a contractor, you are required to provide invoices that stipulate your income as well as invoices and receipts that support the business expenses you are claiming.
- IT3b tax certificates – Issued by your bank and investment institutions, these show interest and other investment income.
- IT3c tax certificate – Provided by your financial investment institutions (i.e. Allan Gray Investments, Ninety-One Investments etc). These display capital gains and losses on the sale of financial assets.
- Medical aid certificates – provided by your medical aid scheme. If you are claiming any medical expenses, it is imperative you have the invoices and receipts to support your claims.
- Retirement annuity certificates – Provided by the institute managing your annuity
- Logbook – you will not be required to submit a logbook with your tax return, but you are required to keep it for five years in case SARS requests it to support a travel allowance claim. This is because SARS may audit your travel claim and require proof of business travel expenses.
Keep in mind, your return may be more complex depending on your financial situation. In such cases, consulting with a tax professional or using a reputable online resource is strongly advised.