Results 1 to 7 of 7

Thread: Registering a Business/VAT registration.

  1. #1
    New Member
    Join Date
    Jun 2012
    Location
    Centurion
    Posts
    4
    Thanks
    4
    Thanked 0 Times in 0 Posts

    Registering a Business/VAT registration.

    Good day colleagues, I am busy in the process of setting up a business, I have finished my business plan, I have reserved a name for my business and in the process of registering it, my problem is VAT registration as when i check the information it says you can only register for VAT if the company has got a certain annual turnover, so my problem is how am I gonna get get that as I am a start-up business, and when you submit bids for new contracts or tenders the require a VAT registration number. So how am I gonna work around that? please assist a brother here. Thanks in Advance.

  2. #2
    Full Member
    Join Date
    Nov 2011
    Location
    Garsfontein
    Posts
    90
    Thanks
    2
    Thanked 11 Times in 11 Posts
    They normaly give you 3 months to opperate without having to be VAT registered. After the three months you submit your monthly turnover and only then do you start paying VAT. Phone SARS and double check

  3. Thanks given for this post:


  4. #3
    New Member
    Join Date
    Jun 2012
    Location
    Centurion
    Posts
    4
    Thanks
    4
    Thanked 0 Times in 0 Posts
    Thanks a lot, but is there a way of obtaining a temporary VAT number to use when responding to tenders/contracts? secondly will the bank not require it when I want to open a bank account? lastly worst case scenario, lets say that 3-12 months lapse and you never got any business, what happens to your business?

  5. #4
    Silver Member Christel's Avatar
    Join Date
    Feb 2012
    Location
    Port Elizabeth
    Posts
    328
    Thanks
    53
    Thanked 90 Times in 64 Posts
    Hi there, No temp VAT numbers.... you would have to trade for at least 3 months to show actual income in your bank account before SARS will even look at registering you for VAT. They do no longer accept business plans as proof of possible turnover. (as per Scaffold's posting above)
    The bank account has nothing to do with VAT, so no bank can refuse to open an account if you are not VAT registered.
    If you don't want to continue trading after any period of time, you simply just de-register... you can ask your accountant to help out with this process.
    always fear when Christel is near....

  6. Thank given for this post:

    Dave A (20-Jun-12), ntsako.mpenyana@gmail.com (19-Jun-12)

  7. #5
    Site Caretaker Dave A's Avatar
    Join Date
    May 2006
    Location
    Durban, South Africa
    Posts
    20,979
    Thanks
    3,055
    Thanked 2,462 Times in 2,067 Posts
    Blog Entries
    12
    Quote Originally Posted by ChristelACS View Post
    you would have to trade for at least 3 months to show actual income in your bank account before SARS will even look at registering you for VAT. They do no longer accept business plans as proof of possible turnover. (as per Scaffold's posting above)
    Oh wow! It's come to that nowadays then.

    Isn't SARS shooting itself in the foot with this policy?
    The trouble with opportunity is it normally comes dressed up as work.

  8. #6
    Silver Member Christel's Avatar
    Join Date
    Feb 2012
    Location
    Port Elizabeth
    Posts
    328
    Thanks
    53
    Thanked 90 Times in 64 Posts
    Quote Originally Posted by Dave A View Post
    Oh wow! It's come to that nowadays then.

    Isn't SARS shooting itself in the foot with this policy?
    Who knows what SARS is up too...I don't think they even know where to draw the line...
    (we have a case where we've been trying to register a CC for PAYE (to pay over to SARS, i.e. SARS will be receiving only - kapish?). And guess what ?- they turn it down because they do not accept the proof of business address... surely they can go and do a site visit if they need to make sure the business is there.... (it's an CC trading within a National Park - we had a letter from SANPARKS confriming this). It's now almost 1 year later... and guess who will be paying interest & penalties once we do get them registered... I rest my case.
    always fear when Christel is near....

  9. #7
    New Member
    Join Date
    Dec 2015
    Location
    Johannesburg
    Posts
    4
    Thanks
    0
    Thanked 1 Time in 1 Post
    Hi you can only register for VAT if your company annual turnover exceeds 1 Million or s likely to exceed that amount in 12 months time so you can also go for voluntary VAT as a start up business as long as you have company tax number.

Similar Threads

  1. What are the benefits of registering your small business?
    By Dave A in forum Business Finance Forum
    Replies: 15
    Last Post: 19-Jul-17, 07:14 AM
  2. Registering a new business
    By johanvanvuren in forum General Business Forum
    Replies: 3
    Last Post: 07-Feb-12, 02:29 PM
  3. [Question] Registering a business???
    By viper357 in forum General Business Forum
    Replies: 11
    Last Post: 03-Feb-12, 11:07 AM
  4. Replies: 3
    Last Post: 12-Jan-12, 09:26 PM

Did you like this article? Share it with your favourite social network.

Did you like this article? Share it with your favourite social network.

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •