Accounting & Tax News

Dear business owner: Don't miss out on these five tax deductions!

If you think that you can't reduce your tax burden and improve your budget in 2015, then you're wrong. 

Read on to discover several ways to reduce your company's tax burden bu claiming these fivetax deductions!

Here are five top  missed tax deductions and what you have to do to claim them:

1. Empower your company to deduct the full amount of an annuity

A common form of retirement funding in small family businesses is for the company (employer) to pay an annuity to an employee who retires on the grounds of old age, ill health or infirmity.

This means that if your company pays the annuity directly to the former employee, it can deduct the full amount of the annuity.

2. Tax free gifts for your employees

You can reward your employees so that they perform better. But it's better you do this without attracting extra tax!

If the rewards are not higher than R5 000, your employee won't have to pay tax on the value of the gift!

3. Claim a 5% allowance on all commercial buildings

Bear in mind that you can claim an annual allowance of 5% on the cost of any new and unused office building you own, if you wholly or mainly use the building during the tax year or for the purpose of producing income in the course of your trade.