August provisional tax amount?
By Marc Sevitz · Updated
Please help me understand the provisional tax amount that I have to put in for when I do my AUGUST provisional tax in 2014.
In your guidelines for when doing tax in August, you say I must not put in my income for the past 6 months (from Feb to Augustus).
So what amount must I put in there? (The estimate amount that I THINK I would have made by 2015 then?)
What we are saying is put the estimated income for the whole period, so the full 12 months of the tax year.
But the tax year has ended Feb 2014 then of which I then will have already paid tax for that year
If I put my income down for a whole year in August, I will then pay tax in Aug AND in next Feb then each for a year???
Sorry, very confusing
If I put my income down for a whole year in August, I will then pay tax in Aug AND in next Feb then each for a year???
Sorry, very confusing
The provisional tax returns take into account prior tax payments and makes you pay the difference. In August it takes the full year and calculates the tax and then halves it. For the final return all amounts already paid are credited against tax payable.