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Confused about a tax audit?
Posted 26 December 2013
Hi Tim
I made a mistake on my tax return and included my employer contribution plus my own contribution to the company pension as well as my RA contribution under the RA section of the ITR12 as I was confused by the note that came up on screen saying the amount should also include the pension amounts appearing on the IRP5. I was uncertain but erred by putting down the full pension and RA contribution amounts.
However, I think this flagged me for an audit (never happened before) as I got a request for supporting documentation letter on e-filing almost immediately saying that I must check the document and correct any error or "alternatively" provide supporting documents if I cannot find an error. But then further down in the letter it says it's a criminal offense not to provide the documents.
I do have all the documents - lots of them as I work from home as a freelance journalist and also have rental income that I declare on the return - but really don't want to waste time photocopying dozens of docs and till slips and trekking to the local SARS office if I don't need to. Anyway, I made the correction on the return and resubmitted it online, it increased my tax liability (no problem there) and the subsequent ITA34 which was issued then had an N next to the "selected for audit" box.
Am I correct in taking it that all is now in order and that since the error has been corrected I don't need to submit any documents?
TaxTimsays: 6 January 2014 at 9:29
Yes, all is sorted - nothing left to worry about. You corrected it properly and should not have any further issues with SARS.