Bev says: 14 March 2016 at 10:05 I pay provisional tax and have 2 contractors to whom I pay FEES (commission) on sales leads that they generate for me. My question is: I wish to use the services of my daughter-in-law (same surname as mine) in a similar capacity so will SARS see this as shifting my tax burden to avoid a higher bracket or will I be allowed to book this family member as a legitimate earner in her own right? I would maintain a payments register and her fees would be paid over periodically to her banking account. I read somewhere that one cannot employ a family members in your business??? |
TaxTim says: 14 March 2016 at 10:21 This should not be a problem with SARS as long as you maintain a proper audit trail (i.e. she invoices you for her fees) and the fees you pay her are market related and consistent with your other contractors. |