THE VDP PROCESS
VDP PROCESS
STEP 1
Legally privileged consultation to determine suitability for VDP and the way forward.
STEP 2
Chartered accountants will prepare calculations, supported by the taxpayer’s documentation.
STEP 3
The VDP application is prepared and submitted to SARS.
STEP 4
A SARS official is appointed to evaluate the VDP application. The evaluator may raise queries and request additional supporting documentation.
STEP 5
Once the evaluator’s queries have been resolved, VDP returns will be submitted on behalf of the taxpayer. An agreement will then be entered into between SARS and the taxpayer, in which SARS will agree to waive any penalties and agree not to pursue the taxpayer criminally for offences relating to the non-disclosure/understatement of income or tax liabilities.
STEP 6
The taxpayer will pay the outstanding tax liability to SARS in terms of the VDP agreement, and the taxpayer’s affairs will thereafter be regularised.
Our specialised voluntary disclosure tax team and chartered accountants regularly assist taxpayers to make disclosure to SARS under their Voluntary Disclosure Programme, which is regulated under the Tax Administration Act. We are a team of attorneys and any information shared with our attorneys is fully protected by legal professional privilege.
THE VDP PROCESS
VDP PROCESS
STEP 1
Legally privileged consultation to determine suitability for VDP and the way forward.
STEP 2
Chartered accountants will prepare calculations, supported by the taxpayer’s documentation.
STEP 3
The VDP application is prepared and submitted to SARS.
STEP 4
A SARS official is appointed to evaluate the VDP application. The evaluator may raise queries and request additional supporting documentation.
STEP 5
Once the evaluator’s queries have been resolved, VDP returns will be submitted on behalf of the taxpayer. An agreement will then be entered into between SARS and the taxpayer, in which SARS will agree to waive any penalties and agree not to pursue the taxpayer criminally for offences relating to the non-disclosure/understatement of income or tax liabilities.
STEP 6
The taxpayer will pay the outstanding tax liability to SARS in terms of the VDP agreement, and the taxpayer’s affairs will thereafter be regularised.
Our specialised voluntary disclosure tax team and chartered accountants regularly assist taxpayers to make disclosure to SARS under their Voluntary Disclosure Programme, which is regulated under the Tax Administration Act. We are a team of attorneys and any information shared with our attorneys is fully protected by legal professional privilege.