Here’s how long you must keep your Vat records to avoid being found guilty of a criminal offence

Simangele Mzizi, Fsp Business, 25 Sep. 2014

Tags: vat records, sars, record keeping

SARS requires you to keep your Vat records.

If you fail to comply with this requirement, you’ll be found guilty of a criminal offence.

Can you imagine facing that penalty just for failing to keep your Vat records? It’s not worth it.

Keep reading to discover the type of Vat records you must hold onto them and for how long so you can comply.

SARS wants you to hold on to the following Vat records for five years

  • Vat returns and assessments (for five years after the date of assessment);
  • Invoices of sales and purchases;
  • Bank statements;
  • Year-end working papers;
  • Sales, tax and Vat records; and
  • Salaries and wage registers.
That’s not all.

You must keep your annual financial statements for 15 years. This includes:
  • Annual reports;
  • Directors’ reports;
  • Auditors’ reports;
  • Books of account; and
  • Fixed asset registers.
Now that you know the type of Vat records you must keep and for how long, let’s look at the tips you can use to keep them safe…

*********** Top rated product ***************

Essential Documents to Keep When you Apply the Zero-rate to a Direct Export

Exports are tricky! Not only is the onus on you to ensure you do everything by the book, but there's a pile of documents you have to keep, to prove to SARS that you're not a bad apple;

Checklist: 7 critical documents to keep when zero-rating VAT for direct exports

  • The order or contract of sale between you and the client

  • Your copy of the zero-rated tax invoice

  • A copy of the Vat 262 or Vat 266 form, with the original Customs stamp on it

  • Customs export documentation

  • A copy of the Customs export or removal document

  • Proof that your foreign client received the goods (e.g. signed delivery note)

  • Proof of payment.

But that's not where it ends



Use these tips to keep your Vat records safe

The following is good practice to keep your Vat records safe, says the Practical Vat Loose Leaf Service:

  • Scan all physical proof into your PC;

  • Make original print outs of electronic copies;

  • Ensure you have more than one copy of each; and

  • Store these copies in different locations.

Here’s the bottom line: Record-keeping is the most important aspect of your Vat management strategy as your records are the proof you need to substantiate your claims and returns to SARS.
So make sure you keep all these Vat records to avoid being found guilty of a criminal offence.

Related articles:




RSS Facebook Share the experience
Accounting and Tax

  • Accounting
  • Allowances and deductions
  • Audit/Assessment
  • Capital gains tax
  • Dividends
  • Donations Tax
  • Exports and imports
  • Fringe benefits
  • Input tax
  • Provisional tax
  • Sars
  • Tax basics
  • Tax invoices
  • Tax returns
  • Vat basics
  • Vat registrations
  • Vat return
Premium Services
  • Company Registration
  • Objections
  • PAYE
  • Trusts
  • Turnover Tax
  • UIF
  • Wear and Tear
how to get my tax number online[read more]
Published on 16 Feb. 2018 1 answer
Need some help on correcting payslips taken over from outsourced payroll person. As soon as the company pays ANYTHING...[read more]
Published on 06 Feb. 2018 1 answer
Dear Sir, Please advise the CGT calculation in the following scenario: Close corporation with one member purchased...[read more]
Published on 18 Jan. 2018 1 answer
Video Archive Video club

Your library of Free eReports
View full library
SARS Tax Tables 2016/2017 Download

Simply click download for your FREE SARS Tax Tables 2016/2017 to ensure you calculate your tax correctly.