Process of recovery:
- Step 1: Determine that Anchor Capital has a clean SARS PAYE record;
- Step 2: According to your existing payroll, On-Target (OT) will determine how many current employees earn below R6500 per month in order to accurately determine your ETI Claim.
- Step 3: On-Target together with Anchor Capital do an ‘in -house’ PAYE audit going back 2 years to determine the extent of the potential back claim payable to Anchor Capital. On-Target makes use of their uniquely developed software system to do this accurately on Anchor’s behalf.
- Step 4: Once this has been completed, On-Target will present their finding regarding the SARS Reimbursement to Anchor Capital for your careful consideration before presenting any Claim submissions to SARS.
- Step 5: Only upon successful SARS re-imbursement will On-Target’s fee split with Anchor Capital be applicable. The split between Anchor Capital and On- Target is 50/50 – for example: If SARS re-imbrues Anchor Capital R1million Back-Claim – On-Target’s fee will be R500k for which they will invoice Anchor Capital. SARS will pay the tax-free total of R1million to Anchor Capital directly and R500k will then be payable by Anchor Capital to On-Target upon receipt of the invoice.
On-Target focusses on the Mandatory and Special Project Grants that each SETA determines on an annual basis. Due to the shortage of critical skills in the Financial Services Sector, Anchor Capital will benefit greatly.
Scholars sponsored by Anchor Capital as per On-Target / Impact Investment Africa’s ETI offering, will be placed on specific courses to achieve this goal. On- Target takes responsibility for all the interaction between Anchor Capital ’s scholars and the relevant SETAs in order to maximize the grants due to Anchor Capital.
Once each SETA has done the applicable audit on On-Target which includes the Portfolio of Evidence of each scholar, they proceed with their Mandatory and Discretionary Grants pay-out.
Only on successful SDL payments by the SETA to Anchor Capital, will On-Target’s fee become payable. (fee split and payment method, as per ETI claim above).
Please find attached to email the SARS Legal Opinion.
On Target has had numerous audits on their systems and as explained in detail that the ETI we have been working extremely close to SARS for almost 6 years in establishing the ETI as the tool for the unemployed in creating jobs and equipping the youth for Fourth industrial revolution. The guarantee lies in the fact that we do a full compliance audit on the Companies Payroll to firstly see if they have been compliant with all submissions to SARS. This information is all verified by SARS, so we have a 100% track record with having zero faults in our system. We have been on this program for almost 6 years and if any problem whatsoever has been climbing out of the woodwork, it would have been picked up long ago. Please see attached article about On Target in the Tax Talk.
Same as no. 2 above
The scholar enrols for 30% academic and 70% practical. The scholar signs a fixed term 1-year contract and all traditional employee/employer benefits are sacrificed by the scholar.
There is no need to be concerned over the scholars being on a separate company payroll. Each scholar is allocated a student number for the 12-month period and is placed on LYT’s payroll for the EMP201 monthly submission.