Masego Sediane

Defined in layman’s terms tax avoidance is defined as any legal methods used by a taxpayer to reduce their tax liability.

While on the other hand tax evasion is an illegal practice a taxpayer does to intentionally reduce their tax liability.

What is provisional tax and who are provisional taxpayers?

Provisional tax is an estimate of the taxpayer’s tax liability at the end of the year of assessment.

This estimated tax liability is paid twice during each year of assessment, with the first payment made at the end of month 6 from the start of the year of assessment and the second one at the end of the year of assessment.