A SARS assessment should not be ignored merely because a taxpayer disagrees with it. The first step is to understand what SARS has assessed, why the adjustment arose and what supporting information is available.
Build the technical file
Keep the assessment, return, correspondence, calculations and supporting documents together. Identify the specific amounts in dispute and the factual and legal basis for the taxpayer’s position.
Manage deadlines
Tax disputes are procedural as well as technical. Applicable time limits and prescribed processes should be checked promptly.
Tax disputes can be fact-specific and time-sensitive. Professional advice may be appropriate.