SARS allows deductions for expenditure incurred in the production of income, provided it is not capital (unless a specific capital allowance applies) and you can prove the amount. Weak records mean disallowed claims — not because the expense was wrong, but because the audit trail was missing.
Often-underclaimed items (when substantiated)
- Home office — only if you meet the strict exclusivity and usage tests
- Business travel and dual-purpose vehicle claims supported by a logbook
- Insurance, professional fees, bank charges, bad debts written off
- Training and subscriptions that truly relate to income production
- Marketing, software, and hosting for revenue-facing systems
Travel logbook
No compliant logbook usually means no travel deduction. Record date, opening and closing km, purpose, and destination for business trips. Apps can help, but the data must be credible and complete for the year.
Use the official SARS prescribed costs table for the relevant year if you apply the deemed cost method, or keep actual costs if you use the actual-cost method — your practitioner will match the method to your facts.
Wear-and-tear and incentives
Section 11(e) and other provisions write qualifying assets off over time; some small-business rules can accelerate relief — eligibility depends on turnover, legal form, and asset type. Get a written asset policy rather than guessing.
Retirement funding
Approved fund contributions can reduce taxable income within the statutory limits. For owner-managers without a large employer scheme, RAs and company structures are common planning tools before 28 February year-end.
Plan deductions with your accountant before year-end — not when the return is already due.
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