Sole Proprietor Advice Required?

[FritzG]

Morning mleroux
Regarding your questions:

1. As an individual, your tax number is the same as your I.D. - only one. Thus if you are registered for tax, regardless of earning remuneration or income from trading, you will use the same tax number.

2. According Sec. 20(4) of the VAT-Act you are required to provide your VAT reference number on all invoices issued to clients, but no need for your income tax number.

3a.Your accountant should assist you in the correct calculation as to how much you should pay. I believe it will be zero (R48 000x18%=R8640 which is less than your primary rebate {R10 260}, but consult him for assistance. An estimated income for the second period must be equal to the lesser of the basic amount or 90% of the actual taxable income for the year, otherwise additional tax of 20% will be imposed on under-estimated taxable income. Remember that you are taxed on your worldwide income, thus you need to take all income in to account when calculating your taxable income.

3b.Any person who derives income, other than remuneration or an allowance or advance as contemplated in section 8(1), qualifies as a provisional taxpayer; then any person who does not carry on a business and whose income does not exceed the tax threshold, is exempt from the payment of provisional tax but as a provisional taxpayer even if your return is nil, you still need to submit. (01.07.2010 - SARS document). Then a notice was send out that effective from 28.06.2010,only taxpayers liable for provisional tax will be required to submit their IRP 6 returns and if at the time of assessment it is determined that the taxpayer was liable for provisional tax, penalties and interest may be levied.

I will rather submit, but still do an estimate calculation do stay as close to the 90 %( 3a).

If though as Dave A mentioned, you practice as an independent contractor - that will be a new ball game...