Jane had seen her fair share of tax seasons, but nothing quite prepared her for the latest beneficial ownership compliance hurdle thrown her way.
As the senior tax manager at a mid-sized accounting firm, she was already juggling multiple corporate tax returns when she received the notification that SARS had released an enhanced Corporate Income Tax Return (ITR14), effective immediately.
She sighed, rubbing her temples. Another layer of admin. Another compliance risk. More sleepless nights.
The Beneficial Ownership Compliance Struggle Begins
As Jane dug into the new requirements, she quickly realised the enormity of the task. Every company now had to disclose detailed beneficial ownership information. This meant tracking down the individuals who ultimately controlled each company, even if ownership was buried under layers of holding companies, trusts, or nominated shareholders.
She thought about her clients. Some had straightforward structures, but many had complex ownership layers. Previously, SARS only required the immediate shareholder details. Now, Jane needed to provide the entire chain of ownership, all the way down to the ultimate beneficial owners and last warm body.
This wasn’t just a minor tweak. It was an administrative nightmare.
- Where would she find all this information?
- Did the clients even have these details on hand?
- What if the data was incomplete or outdated?
- Would SARS penalise companies for missing information?
The stress levels in the office skyrocketed. “How are we supposed to do all this manually?” one of her colleagues groaned. “This could take weeks!”
The Hidden Costs of Beneficial Ownership Compliance
Jane wasn’t just worried about the workload. The risks were significant.
- Compliance risks: Failure to provide accurate beneficial ownership details could result in penalties and compliance notices from SARS.
- Lack of clarity: The new requirements were complex, and SARS provided little clear guidance on how to handle some cases.
- Time wasted on manually gathering information: Instead of focusing on tax strategy and optimisation, Jane and her team were now spending hours buried in admin chasing down beneficial ownership details.
- Increased administrative burden: Even small businesses were caught in the web of additional paperwork and verification processes. This was precious time that the firm didn’t have. Clients expected seamless tax submissions, and delays could harm the ongoing relationships.
A Better Way: Konsise’s Entity Management Functionality
Just when Jane thought she’d reached a dead end, she came across Konsise and discovered it was the perfect customer relationship management (CRM) tool for accounting firms and corporate tax teams with its built-in Entity Management functionality.
With a few clicks, she discovered that Konsise could centralise and store all beneficial ownership details and keep records up to date. This would ensure compliance without the ongoing manual headache.
Instead of digging through outdated spreadsheets and emails, she could now access all the information she needed in a single, structured platform that displayed each company’s ownership structure.
A New Era of Compliance Efficiency
By using Konsise, Jane transformed what could have been a compliance disaster into a streamlined process:
- Data collection and secure storage: No more manual back-and-forth with clients to retrieve beneficial ownership details.
- Accuracy & compliance: Konsise ensured all data was aligned with SARS requirements, reducing the risk of fines.
- Time saved: What used to take weeks now took minutes.
For the first time in weeks, Jane felt a sense of relief. She wouldn’t have to pull all-nighters to meet the ITR14 deadlines.
Don’t Let ITR14 Catch You Off Guard
If you’re a tax manager or accountant feeling the pressure of the new SARS beneficial ownership requirements, there’s a more innovative way to manage your beneficial ownership compliance burden.
Book a demo today and sign up for a free 45-day trial of Konsise.
Let technology handle the admin so you can focus on what truly matters: strategic tax planning and keeping your clients and legal entities compliant without the stress.
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