Mr X (aged 50) earns a salary of R15 000 per month for the year ended 28 February

Question

2022. Assuming that he has other income of R40 000 for the year and is not entitled
to any deductions, his tax payments for the year will be as follows:
Employees’ tax
Because he receives remuneration his employer will have to withhold employees’ tax
from his monthly salary. The employees’ tax is calculated according to tables issued
by SARS.
The monthly employees’ tax is: …………………………………………………….R1 391
This amount is withheld from Mr X's monthly salary (by his employer). The R1 391
withheld by the employer is paid to SARS who credits it to Mr X's account. By the end
of the year the employer would have withheld and paid over an amount of R16 692.

Answer 1

Provisional tax
Since Mr X has other income of R40 000 for the year, he will need to pay provisional tax on this income. Provisional tax is paid twice a year, in August and February.
The provisional tax is calculated as follows:
- First provisional tax payment in August: 40% of R40 000 = R16 000
- Second provisional tax payment in February: 40% of R40 000 = R16 000

Therefore, Mr X will pay a total of R32 000 in provisional tax for the year.

Total tax payments for the year:
Employees' tax: R16 692
Provisional tax: R32 000
Total tax payments: R16 692 + R32 000 = R48 692

Mr X's total tax payments for the year will be R48 692.