What is a Tax Debt Compromise?
It sometimes happens that during the course of business, you hit hurdles, and find yourself in very dire financial
situations where you cannot even afford to pay your taxes. With just the first encounter, serious tax problems
begin. Once they begin they pile up, and you find yourself in a situation where you have nowhere to run.
Your business plays a very major role in the South African economy, and you wouldn’t want to liquidate your
company whence you can still negotiate with the Commissioner. Remember, something is better than nothing!
And that’s where you need us the most.
Tax Debt Compromise
Tax Debt Compromise is a process the where commissioner, on your request, can compromise the amount of
tax you owe to the National Revenue Fund (SARS).
It is a legal process. It does not depend of any favours; it also does not depend on any emotional expressions.
It is a provision of the Tax Administration Bill!
If you are indebted to the National Revenue Fund and you are not able to comply with your payment obligation
due to any circumstances, Lemac & Associates will assist you by applying for a Tax Debt Compromise in the
prescribed manner and as promulgated in the Tax Administration Bill and the Companies Act.
How does it work?
The Commissioner will simply evaluate the application based on the grounds as per the application and
determine terms and conditions of the agreement to compromise, request payment, and clear the
compromised portion of the debt.