We at Northbound offer our clients flexibility and consistency. We have embarked on a process to sign clients on for retainers in relation to the services they receive on a regular basis.
What is a Northbound Retainer?
This is our way of spreading all your annual and monthly costs over a period of 12 months (or however many months remain in the year) to equalize the costs, instead of having fluctuations month to month.
What is the process for getting a retainer in place?
- Advise your key relationship manager or accountant that you are interested in signing up for a retainer.
- A retainer is then compiled with the relevant services for the year, and a monthly retainer amount is calculated.
- A draft retainer is sent to you, our valued client, to peruse its content.
- Once the retainer is approved, we load it onto our system.
- Payments can be made via EFT, but it is advised to set up a monthly debit order. Debit order dates are the 1st, 7th, and 25th of each month. This also ensures that you get a 5% discount each month.
The above offering is designed to equalize the monthly accounting fees and help you budget, knowing that the fees won’t go up. Anything outside of the retainer will be billed as per normal.
By Dewald Niemand – Practice Manager.
The South African Revenue Service Value Added Tax (VAT) invoice requirements.
South Africa operates a VAT system whereby businesses (vendors) are allowed to deduct the VAT incurred on business expenses (input tax) and needs to declare the VAT collected on the supplies made by the business (output tax). The most important document in such a system is the tax invoice.
Without a proper tax invoice, a business cannot deduct input tax on business expenses. The VAT Act No 89 of 1991 (hereafter referred to as “the VAT Act”) prescribes that a tax invoice must contain certain details about the taxable supply made by the business as well as the parties to the transaction.
The VAT Act also prescribes the timeframe within which a tax invoice must be issued (i.e. 21 days from the time the supply was made). A business is required to issue a full tax invoice when the price is more than R5 000 (including VAT – referred to as consideration for the supply) and may issue an abridged tax invoice when the consideration for the supply is greater than R50 and less than R5 000 (including VAT). If the consideration for the supply is R50 or less, a tax invoice is not required.
However, a document such as a till slip or sales docket indicating the VAT charged by the supplier will be required to verify the input tax deducted.
What constitutes a valid VAT invoice according to SARS
In South Africa, a tax compliant VAT invoice is an invoice that contains all the necessary information to comply with the Value Added Tax (VAT) Act No 89 of 1991. If any of the required information is left off a tax invoice, VAT can’t be collected on it.
Read the rest of this article HERE.
GONE ARE THE DAYS OF PHYSICAL FILES
As technology advances over the years, corporate fields are steadily evolving too. At Northbound Financial, we have implemented the use of HUBDOC, you might ask what HUBDOC is.
This is the future, where saving receipts and many other documents is made simple with a click of a button. The worry of having your physical receipts fading over time, is a thing of the past.
Hubdoc is a data capture management solution, meaning that if you use Hubdoc (which is linked to Xero) you can easily get your bills and receipts captured, automate data entry, and simplify the process to matching transactions to the bank feed. The result are less paper, less manual bookkeeping and more accurate data and a better view on your financials.
Hubdoc makes it easier to capture bills and receipts using any device including your mobile, email or scanner. Once uploaded, the key information is automatically extracted and ready to publish to Xero with the original document attached. You can truly go paperless with you receipts / invoices securely stored in the cloud, searchable and easy to access anywhere in the world. Take pictures of your receipts and upload it onto Hubdoc and share it with your accountant.
Northbound Financial Inc. has been in partnered with Xero Accounting for close to 2 years ago. It has streamlined a lot of the bookkeeping functions with automation. To summarize with Hubdoc you will be able to dramatically reduce the amount of time spent on manual admin task and spend your time on something more valuable like growing your business.
Find out how you can get a 20% off XERO by signing up through Norhtbound, HERE.
By Mirriam Vry – Accountant
SARS SCAM ALERT!
6 June 2023 – Be wary of random requests to click on a link to view account in arrears. Please do not click on any suspicious links and delete these emails. If in doubt, email phishing@sars.gov.za.
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