0
0
What is tax season?
Tax season is the time period between January 1 and April 30 of each year in which individuals and companies traditionally prepare the previous year’s financial statements and reports. In Zimbabwe, individuals and companies registered for income tax must file their annual tax return by April 30 of the year following the reportable earnings. Employers are required to file their annual employees’ tax returns by January 30 of the following year.
During tax season, businesses must furnish employees, contract holders, royalty earners, shareholders, non-executive directors, etc. with tax documents specifying data required to complete individual’s tax returns. Examples of tax documents in this case are the form P6 and withholding tax certificates.
Tax season is the busy season for many tax consultants and accounting professionals. This four month period is the time that people collect the necessary paperwork, including wage and earnings statements and prepare tax returns. This is the time of the year when public accountants are busy preparing and filing tax returns for their clients.
While some individuals calculate their own tax returns, many rely on the expertise of tax consultants and accounting professionals to be certain the paperwork is filed correctly and to improve the financial outcome of the tax return, within the boundaries of the tax law and regulations.
Though most taxpayers file by April 30 for income tax and by January 30 for employees’ tax, the tax season doesn’t drop off to no activity after April 30 or January 30. Taxpayers often file extensions, which generally expire later on after the deadline when approved by the revenue authority (ZIMRA).
Recap of our Tax Seasons
Employees Tax: 1st – 3oth January
Income Tax: 1st January – 30th April
PS: All income taxpayers are now on self-assessment which means your tax return is your final assessment though it is subject to an audit by ZIMRA.
We are coming towards the end of the 2016 Tax Season for Income Tax, have you filed your tax returns yet? Contact your preferred tax consultant for assistance or you may contact us on 0784919645 or email us at taxitzim@gmail.com
In the next blog post, we deal with the Tax Season as it relates to employees not on FDS (Final Deduction System).
