Monday saw the launch of the new amnesty or SVDP.
What is the SVDP? It is an opportunity for those of us South African taxpayers who have still not declared some of our taxable income or gains to SARS and/or who have not regularized our overseas assets with the Reserve Bank, to come clean.
The period of this amnesty is from 1 October 2016 – 30 June 2017, which is three months longer than originally suggested.
The reason for this final amnesty being offered: The impending automatic exchange of information between tax authorities, known as Common Reporting Standards or CRS, which is going to affect South African taxpayers from next year.
The scope of this SVDP: The programme provides relief for all types of tax, except for VAT, estate duty and PAYE. It also provides relief for unauthorized assets that were held on or before the 29th of February 2016.
The terms are rather complicated and advice can be sought by taxpayers themselves or through specialist tax advisors such as Sentinel Trust in Claremont, Cape Town. Please let me know if you would like to have their contact details.
How does one apply: Through SARS’s efiling portal.
This is the last time that the local tax and exchange control (financial surveillance) authorities will grant one any kind of relief, so if you have some undisclosed assets or undeclared taxable income or gains, come forward and clear the air on the most favourable terms yet offered.