SCN & Associate

Value Added Tax - The importance of a valid "tax Invoice"

South African VAT system allows a vendor to deduct input tax incured on business expenses from output tax of supplies made by the business. A valid tax invoice is the cornestone of this system.
Without a proper valid tax invoice a busniess cannot deduct input tax on business expenses.

Section 20 (4) of the Value-Added Tax prescribes that an abridged tax invoice (supply less than R5 000.00) must contain the following:

1. Contains the words “Tax Invoice”, “VAT Invoice” or “Invoice”
2. Name, address and VAT registration number of the supplier
3. Serial number and date of issue of invoice
4. Accurate description of goods and /or services
5. Value of the supply, the amount of tax charged and the consideration of the supply

Section 20 (4) of the Value-Added Tax prescribes that a full the tax invoice(supply exceeding R5 000.00) must contain the following:

1. Contains the words “Tax Invoice”, “VAT Invoice” or “Invoice”
2. Name, address and VAT registration number of the supplier
3. Name, address and where the recipient is a vendor, the recipient’s VAT registration number
4. Serial number and date of issue of invoice
5. Accurate description of goods and /or services
6. Quantity or volume of goods or services supplied
7. Value of the supply, the amount of tax charged and the consideration of the supply

To avoid disagreement or dispute with SARS, get in touch with us for consulattion and valid tax invoice deisgn

💼 Why Bookkeeping Matters for Your Small Business

Running a small business is exciting — but if your books aren’t in order, things can get messy fast.

✅ Know your numbers – Track income and expenses so you always know where your business stands.
🧾 Stress-free tax time – Organised records make filing faster and easier.
💡 Make smarter decisions – Clear finances help you plan for growth and spot problems early.
📈 Look professional – Clean books build trust with banks, investors, and clients.
🕒 Save time & avoid stress – Stay ahead instead of catching up at year-end!

Bookkeeping isn’t just about numbers — it’s about understanding your business. Keep your records tidy, and your business will thank you later!

SCN & Associates provide all aspect of bookkeeping, payroll, taxation and Companies Act compliance related services such as:

• Day-to-day transaction processing
• Financial reporting (P&L, balance sheet, statement of cash flows, and more)
• Bank reconciliations
• Inventory management
• Chart of accounts setup
• Accounts receivable and accounts payable management
• Invoicing
• Budgeting and forecasting
• Annual Financial statement preparation
• Management Accounts
• VAT Registration
• VAT calculation and Returns submission.
• Tax Calculation and planning
• Corporate Tax Returns
• Individual Tax Returns
• Payroll
• Monthly Statutory Returns (EMP 201 & EMP 501)
• Company Registration
• CIPC Annual Returns
• Audit Working Papers

We offer standard and professional accounting and tax services individual clients, and corporate clients ta local and national level. Will ensure that we work hard and surpass our clients’ expectations whenever they hire our services.

The submission deadline for Employer Reconciliation, or EMP501, is 31st October 2025. Do you require assistance with filing? Contact SCN & Associates, offers a professional and efficient service.

Our accounting services are tailored to meet your needs. Inbox us to discuss a tailored solution

Our accounting services are tailored to meet your needs. Reach out on to discuss a tailored solution

Professional Accounting and Bookkeeping services at an affordable price.

Welcome to SCN and SCN & Associate!!! We offer professional accounting, tax and advisory services.