17 March 2005: No 10/05

INCOME TAX PROCESS IN THE DEPARTMENT OF DEFENCE (DOD)

The payments of pay-as-you earn (PAYE) and standard income tax earnings (SITE) are mandatory for all members who earn more than R32 222 per annum.

Members who earn more than R60 000 per annum are required to register as income tax payers at the nearest South African Revenue Service (SARS) office.

SARS will issue to all members an income tax return document that has to be completed by members who earn more than R60 000 per annum.  This is aimed at assessing every member’s personal income tax account to make sure that the correct income tax was paid for the year. 

Members who earn less than R60 000 per annum are not required to register as income tax payers.

Member/employees who earn more than R60 000 per annum.

Members who earn more than R60 000 per annum will receive an IRP5 certificate in their respective units in May.

The members must submit their income tax reference number to their personnel offices to be captured on the PERSOL system.

The annual income tax returns from SARS will be posted and must be completed, and members have to attach their IRP5 certificate to the document and make sure that the tax returns are submitted  to SARS offices before the expiry date given by the authorities.

Members who earn less than R60 000 per annum.

Members may ask the SARS office to assess their personal income tax accounts.

However, the members must go to the local SARS offices and ask for their personal income tax account to be assessed.

The SARS office will give them the ITSS form to be completed and the members must have with them a certificate of medical contributions and an annual medical proof of expenses paid during the tax year. This applies to (PSAP) members.

Annuity certificates are provided by the relevant insurance companies.

Members belonging to a medical scheme and whose contributions and additional expenses exceed 5% of their total taxable income per annum may benefit by submitting the ITSS form to the SARS local offices. However, proof of expenditure must be provided.

The SARS will make sure that the individual who has paid more income tax than required is reimbursed accordingly.    

Enquiries:    Lt Col J.N. Liebenberg, tel: (012) 339 5506, Mr A.P. Kruger, tel: (012) 392 2075, Mr J.C. du Preez, tel: (012) 392 2072.