SARS Notice of Assessment — How to Read
Your SARS Notice of Assessment is an important document that shows your final tax position for the year. Understanding how to read and interpret your assessment helps you verify accuracy, understand your tax liability, and take appropriate action. This comprehensive guide covers everything you need to know about reading your SARS Notice of Assessment.
What Is a Notice of Assessment?
Understanding Assessments
Definition:
- Official SARS document
- Final tax calculation
- Shows tax position
- Based on your return
Purpose:
- Confirm tax liability
- Show refund or payment due
- Finalize tax year
- Official record
Key Features:
- Issued after return processed
- Shows calculations
- Indicates refund or payment
- Official document
Sections of the Assessment
Header Information
What's Included:
- Assessment number
- Tax year
- Issue date
- Taxpayer name
- Tax reference number
Importance:
- Reference for queries
- Identification
- Record keeping
- Official document
Income Summary
What's Shown:
- Total income declared
- Income breakdown
- Sources of income
- Adjustments made
Review:
- Verify amounts
- Check all income included
- Review adjustments
- Ensure accuracy
Deductions Summary
What's Shown:
- Total deductions
- Deduction breakdown
- Medical expenses
- Retirement contributions
- Other deductions
Review:
- Verify deductions
- Check amounts
- Review disallowed items
- Ensure accuracy
Tax Calculation
What's Shown:
- Taxable income
- Tax calculated
- Rebates applied
- Net tax liability
Review:
- Verify calculations
- Check rebates
- Review tax brackets
- Ensure accuracy
Final Position
What's Shown:
- Refund due
- Payment due
- Nil assessment
- Final amount
Understanding:
- Refund: SARS owes you
- Payment: You owe SARS
- Nil: No refund or payment
- Amount to pay or receive
Understanding Your Assessment
Refund Due
What It Means:
- SARS owes you money
- Refund will be processed
- Usually 7-21 business days
- Paid to bank account
Action:
- Verify amount correct
- Check banking details
- Wait for refund
- Track refund status
Payment Due
What It Means:
- You owe SARS money
- Must pay by due date
- Various payment methods
- Late payment incurs penalties
Action:
- Verify amount correct
- Pay by due date
- Use approved methods
- Keep proof of payment
Nil Assessment
What It Means:
- No refund, no payment
- Tax correctly calculated
- Balanced position
- No further action
Action:
- Review for accuracy
- Keep for records
- No payment needed
- Case closed
Verifying Your Assessment
Check Calculations
What to Verify:
- Income amounts
- Deduction amounts
- Tax calculations
- Rebate applications
- Final amount
How to Verify:
- Compare to your return
- Check calculations
- Review adjustments
- Verify accuracy
Review Adjustments
Common Adjustments:
- Income adjustments
- Deduction disallowances
- Calculation corrections
- Other changes
Understanding:
- Why adjustments made
- If adjustments correct
- Impact on final amount
- Whether to query
What to Do After Receiving Assessment
If Assessment Is Correct
Action:
- Accept assessment
- Pay if amount due
- Wait for refund if due
- Keep for records
- No further action
If You Disagree
Action:
- Review carefully
- Identify issues
- Gather evidence
- Query assessment
- Provide information
Process:
- Submit query via eFiling
- Or contact SARS
- Explain disagreement
- Provide evidence
- Wait for response
Common Issues
Incorrect Amounts
If Found:
- Query assessment
- Provide correct information
- Explain error
- Request correction
- Follow up
Missing Information
If Found:
- Query assessment
- Provide missing information
- Explain situation
- Request adjustment
- Follow up
Calculation Errors
If Found:
- Query assessment
- Show correct calculation
- Explain error
- Request correction
- Follow up
Best Practices
Review Carefully
Importance:
- Verify all information
- Check calculations
- Review adjustments
- Ensure accuracy
Action:
- Read thoroughly
- Compare to return
- Verify amounts
- Check dates
Keep Records
Maintenance:
- Keep assessment
- File with tax records
- Maintain for 5 years
- Easy to access
Act Promptly
If Issues:
- Query immediately
- Don't delay
- Provide information
- Follow up
Frequently Asked Questions
How long do I have to query an assessment?
Usually 30 days from issue date, but check your assessment for specific timeframe.
What if I miss the query deadline?
Contact SARS immediately to explain. They may still consider your query.
Can I query if I already paid?
Yes, you can still query and may receive a refund if the assessment was incorrect.
What if my assessment shows I owe more than expected?
Review the assessment carefully, verify calculations, and query if you believe there's an error.
How do I know if my assessment is correct?
Compare it to your return, verify all amounts, check calculations, and ensure all information is accurate.
What happens after I query an assessment?
SARS reviews your query, may request additional information, and issues a response. This may result in an amended assessment.
Conclusion
Understanding your SARS Notice of Assessment is essential for verifying your tax position. By reading it carefully, verifying calculations, and taking appropriate action, you can ensure accuracy and maintain compliance. If you disagree with your assessment, query it promptly with supporting evidence.
For assistance with understanding your assessment or to query it, contact SARS directly or consult a qualified tax practitioner.
Related Articles:
Official Resources:
