Shouldn't that portion then be added back to the expense?
Eg. let say you tried to claim VAT of R14 back entertainment of R100. Your expenses shows R100, which is correct. Input VAT shows R14. But SARS don't allow it.
So now you expense must change to R114, so that is why you have to add the portion back to your expense.
Did you like this article? Share it with your favourite social network.