Until now HOAs have been obliged to register with SARS as VAT vendors where annual levies exceeded R1m. That has now changed – HOAs have been brought into line with sectional title body corporates and exempted from compulsory registration. HOAs: Take advice from a registered tax practitioner on whether or not it will be advantageous to you to apply to SARS to remain registered on a voluntary basis.
Taxation Laws Amendment Act No. 31 of 2013 – Promulgated in GG 37158 on 12 December 2013
See also the article “Home-owners associations cease to be vendors for VAT purposes” on the SAICA website.
