1. If you fail a day, you have to start over 2. Stick to a diet, no cheat days, no alcohol 3. 4l of water a day 4. Two 45 min workouts a day, one must be outdoors 5. Read 10 pages of a non-fiction book 6. Take a progress picture
I'm on day 10 currently.
Observations: 1. Waking up early to do the outdoor workout makes it easy to complete the first of two workouts. 2. Bonaqua Pump 750ml water bottle is excellent for this challenge. 3. Read your 10 pages early
People seem to think that two workouts a day is hectic, but here's my workout schedule:
THREAD!!! Capital Gains Tax 101 on immovable property aka house/flat etc
Disposal (most commonly the sale) of an asset has Capital Gains Tax consequences
The basic calculation:
Proceeds (how much you sold it for);
less Base Cost (how much you bought it for)
= Capital Gain/Loss
The next step is to determine four key details: 1. In who's name is the property and is there an in community of property involved 2. How long was the property owned for 3. How long the owner stayed in the property 4. How long the property was rented out or used for business
Example 1: Mrs X sold a property for R 3.5 mil; she bought it for 2mil; property was in her name; she stayed in the property for the whole time.
Proceeds: 3.5m
Base cost: 2m
Capital Gain: R 1.5m
less Primary residence exclusion R 2mil (limited to 1.5m)
Therefore, no CGT
One of the more frequently asked (business tax) questions I get is: What can I expenses can I claim?
This thread should give you some guidance / direction
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Let's start off with: Who can claim business related expenses?
Let's look at the Income Tax Act (ITA)
S11(a) - It must carry on a trade, but prohibits
S23(m) - Employment
In laymen's terms: Business expenses can be claimed by taxpayers carrying on a trade, but excludes employees
Note that it doesn't exclude individuals (only employees).
Individuals that earn rental income, runs a sole proprietorship or derives mainly income (more than 50% of their income) from commission and/or independent contracting income, all may deduct business related expenses.
Life is a big giant MMO - going into a dungeon you have 3 roles:
- Tank
- DPS
- Healer
In order to win, you need to know your role (most people are hybrids) and how you fit in.
In the popular MMO - World of Warcraft, players will often prefer a particular role: Tank (take damage / hold aggro), DPS (kill and try to stay alive) and healer (keep the group alive with healing spells).
In life however, everyone will fulfill each of these roles.
Tank: The role of the tank is to take damage and to hold "aggro".
Aggro is problems / enemies.
Good tanks are problem solvers.
Bad tanks let their problems and issues overwhelm them.
1. Tax compliance (fixing the past) 2. Tax planning (preparing for the future) 3. Tax provision (saving yourself)
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1. Tax compliance is the most basic function of an tax person. They simply make sure that your historical returns are submitted and kept up to date.
Tax compliance doesn't help you pay less tax - it simply keeps you up to date.
2. Tax planning is auxiliary to compliance, provided by the tax person (hopefully). It allows you to plan your tax plans for the future to ensure you pay less tax.
Good tax planning can't fix bad compliance, but will save you on future taxes.
Taxes on gigs outside of employment. Here's a necessary evil that needs to be addressed.
Everyone will till you: Multiple streams of income!
But what they forget to tell you is: Multiple streams of tax!
1. Let me set the stage: You've landed yourself a nice job with a nice tax bracket to go with it. Say that bracket for our example is 41% (750k to 1,5m per annum of income).
We already know that the effective tax rate on 41% is closer to 29 - 32%...
2. But what about that apartment you're renting out as a side hustle? What about the pineapple beer that's making a killing? What if you do some consulting on the side?
The profits are not taxed at your effective tax rate.
It's taxed at your bracket.
41%.
Thread on bonuses and other windfalls (via employment) like share options and commission.
Getting a bonus is fun. But losing almost half your bonus to tax isn't fun.
Here's why it happens and what to do about it.
1. The salary is annualised; 2. The tax on the full annualised salary is calcuted; 3. The tax is then divided by 12 to get to the monthly PAYE to be calculated.
It's important to note that the annualised salary only takes into account THAT month (not other months).