Do we not have better things to worry about than rounding adjustments to 5  decimal places? When will enough be enough? Their whole argument is flawed as the VAT201 input fields 1 - 4 require rands only and in fact only allow rand inputs! Therefore it matters not a damn whether your round to 5 places or infinity, the very fact that round rands are required introduces a tolerance level. Rather than the zero tolerance SARS  demand, in terms of the Act or not.

Acknowledgements: SAIPA Journal - modified

When a person ceases to be a vendor, VAT will have to be accounted for on the total assets forming part of the enterprise in the tax period in which registration ceases, even though they may in fact be sold or ceded only at a later date or not at all.

The Act expresses that all assets that form part of the assets of the enterprise on the date when registration ceases will be deemed to have been supplied, and it is not relevant whether an input tax deduction was allowed in the acquisition of the assets. This can have a significant financial impact.

A person may cease to be registered as a VAT vendor in the following circumstances:

• Annual value of that person’s taxable supplies will no longer exceed R1 million.
• Person has ceased to carry on enterprise activities, unless there are reasonable grounds for believing that that person will carry on any enterprise activity at any time within twelve months from the date of cessation.
• SARS may cancel a vendor’s registration where SARS is satisfied that the vendor no longer complies with the requirements for voluntary registration.
• Where it appears to SARS that the registration should be cancelled because the person has no fixed place of abode or business, does not keep proper accounting records, has not opened a bank account for the enterprise or has failed to per form the duties imposed under the Value-Added Tax Act.