Audit income statement

By Marc Sevitz · Updated

Rory

Rory said:
3 February 2016 at 10:03

The SARS auditor is asking for an income statement to explain why I have a lose of R16 000. This I assume was from my car travel expenses. Why are they asking me for this?
TaxTim Marc

TaxTim Marc said:
3 February 2016 at 15:59

They want to see a detailed record of your income and expenses to see how you arrive at the R16,000 loss. You can submit an excel spreadsheet to them which includes a description and amount for all of your expenses.
Rory

Rory said:
3 February 2016 at 16:39

How is my income statement going to be any different from whats on my tax return?
This is basically my income statement:
Travel 14203
Telephone 1800
Entertainment 216

Income 0
TaxTim Marc

TaxTim Marc said:
4 February 2016 at 15:59

You should submit a break down of the travel expenses and a vehicle logbook.