SARS recently introduced the new Supplementary Declaration (IT14SD) returns in an attempt to enhance tax compliance by Companies and Close Corporations through the verification and reconciliation of the various declarations made to SARS.
The IT14SD is intended to reconcile financial information across PAYE, Income Tax, VAT and Customs tax types. The form requires the reconciliation to be accurate to within R100. It has to be completed within 21 days.
The return requires tax payers to reconcile and substantiate the differences between the following:
- Turnover as disclosed per the IT14 to the value of supplies as disclosed per the VAT201 returns;
- Cost of Sales as disclosed per the IT14 to input tax claimed as disclosed per the VAT201 returns;
- Salaries submitted as per the EMP201 returns to salaries disclosed as per the IT14 return;
- Accounting profits and losses and tax profits and losses;
- Exported sales value per Customs declarations and export sales as disclosed per the IT14 and VAT201 returns; and
- Importation values per Customs declarations and imported costs as disclosed per the IT14 and VAT201 returns.
Tax payers who are eFilers and who have been identified for verification will receive an initial verification letter which will be displayed on their eFiling profile. The form will automatically be available for completion and submission. Tax payers who are not registered for eFiling will receive the IT14SD by post.
If you need assistance with this process, please contact us – contact details can be found at www.psyberconsulting.co.za