Evolve Audit & Advisory

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Evolve Audit & Advisory We specialize in assurance and advisory services. We love all things financial that create a headache for you. TAX, AUDIT, ACCOUNTING, PAYROLL, STATUTORY
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Claiming entertainment expenses is one of the quickest ways to trigger a SARS audit. If your claims aren't backed by pro...
19/10/2026

Claiming entertainment expenses is one of the quickest ways to trigger a SARS audit. If your claims aren't backed by proper documentation, penalties and interest can quickly eat away any savings.

Before submitting your next tax return:
✅ Verify if the expense genuinely meets the "production of income" rule.

✅ Make sure you haven't claimed Input VAT where prohibited.

✅ Speak to a registered tax professional or auditor to double-check your claims.

Got questions about what you can and can't claim? Reach out to us or drop your questions below! 👇

If SARS knocks on your door tomorrow, could you prove your client lunch was a legitimate business expense? 🧾Under the Ta...
15/10/2026

If SARS knocks on your door tomorrow, could you prove your client lunch was a legitimate business expense? 🧾

Under the Tax Administration Act, the burden of proof is 100% on you. If you claim entertainment expenses against income tax, you MUST keep records for at least 5 years.

Here is what you need in your records for every claim:
📅 Date and location of the event

👤 Full names and company details of everyone present

📝 The specific business purpose or agenda discussed

🧾 Itemized tax invoices and proof of payment

Pro-tip: Jot down quick meeting notes on the back of the receipt or store a digital log right away!

Yes, but only under very specific conditions! SARS lists 9 rare exceptions under Section 17(2). The two most common ones...
12/10/2026

Yes, but only under very specific conditions! SARS lists 9 rare exceptions under Section 17(2). The two most common ones are:

1️⃣ You are in the business of entertainment: If you sell food, drinks, or hospitality to customers for a commercial fee, you can generally claim input VAT on those supplies.

2️⃣ Overnight business travel: If an employee travels for work and is required to stay away from home and their normal workplace for at least one night, input VAT on qualifying meals and accommodation can usually be claimed.

Knowing these exceptions can save your business money without landing you in hot water!

Warning for Business Owners: You usually CANNOT claim Input VAT on entertainment!Even if an expense qualifies as a deduc...
08/10/2026

Warning for Business Owners: You usually CANNOT claim Input VAT on entertainment!

Even if an expense qualifies as a deduction for Income Tax, Section 17(2)(a) of the VAT Act strictly prohibits claiming back input tax on entertainment.

According to SARS, "entertainment" includes:
☕ Staff refreshments (tea, coffee, snacks)

🍔 Business lunches, dinners & client drinks

🎉 Annual office parties & team functions

🎪 Marketing events & venue hire

🥪 Catering for staff canteens

So, before you add VAT to your claim, remember: SARS keeps a close eye on this one!

You might be wondering: Can I claim this back on tax? 🤔The short answer: Maybe for Income Tax, but almost NEVER for VAT....
06/10/2026

You might be wondering: Can I claim this back on tax? 🤔

The short answer: Maybe for Income Tax, but almost NEVER for VAT.

Under Section 11(a) of the Income Tax Act, for an entertainment expense to be tax-deductible, it must meet 4 core rules:
1️⃣ Actually incurred

2️⃣ Directly involved in producing income

3️⃣ Carried out specifically for business trade

4️⃣ Not of a capital nature

If taking that client to lunch directly helps generate business income, you may be able to deduct it for Income Tax. But stay tuned—VAT works very differently!

👇 Have you ever tried claiming entertainment on your tax return? Drop a comment below!

How does your company document missteps?High-performing businesses use what experts call a "failure loop"—a formal proce...
24/09/2026

How does your company document missteps?

High-performing businesses use what experts call a "failure loop"—a formal process for documenting what went wrong, analyzing why, and feeding those lessons directly back into decision frameworks.

When you make lessons available to the entire organization, a single mistake elevates the whole team.

051 403 1900
[email protected]
evolveaa.co.za

In 2008, after years of aggressive over-expansion, Starbucks stock dropped ~70%. When Howard Schultz returned as CEO, he...
22/09/2026

In 2008, after years of aggressive over-expansion, Starbucks stock dropped ~70%. When Howard Schultz returned as CEO, he didn't rely on quick marketing tricks—he implemented structural recovery.

He famously closed 7,100 US stores for an afternoon to retrain baristas on product craft, publically slowed store openings, and returned to the core customer experience.

The takeaway for your business? True recovery comes from a disciplined return to first principles, not quick fixes.

051 403 1900
[email protected]
evolveaa.co.za

Saying "we moved too fast" or "we lacked data" misses the real issue. To prevent repeating a costly error, you have to t...
17/09/2026

Saying "we moved too fast" or "we lacked data" misses the real issue. To prevent repeating a costly error, you have to trace it back to its structural root:
🔹 Was it a flawed review process?
🔹 Groupthink during the planning stage?
🔹 An incentive structure that rewarded the wrong behavior?

Fixing the root cause ensures the mistake only happens once.

051 403 1900
[email protected]
evolveaa.co.za

When a business decision backfires, the natural instinct is to delay or minimize the impact. But spin is expensive—and c...
14/09/2026

When a business decision backfires, the natural instinct is to delay or minimize the impact. But spin is expensive—and credibility is hard to buy back.

The fastest route to rebuilding trust with your team, board, and clients isn't glossing over the issue; it's plain, direct ownership.

Acknowledge the misstep early, state the facts clearly, and pivot toward the solution.

051 403 1900
[email protected]
evolveaa.co.za

Did you know that 85% of business leaders admit to suffering from "decision distress"—feeling guilty, regretting, or sec...
09/09/2026

Did you know that 85% of business leaders admit to suffering from "decision distress"—feeling guilty, regretting, or second-guessing key choices?

Even worse, 72% have given up on making a decision entirely because of data overload. If you've made a bad call in your business recently, you aren't alone. What matters most is how you recover.

Read our latest article to discover the 4-step framework for turning business missteps into long-term growth: https://evolveaa.co.za/everyone-makes-them-heres-how-to-recover-from-a-bad-business-decision/

Address

32 Reid Street, Westdene
Bloemfontein
9300

Opening Hours

Monday 07:45 - 16:45
Tuesday 07:45 - 16:45
Wednesday 07:45 - 16:45
Thursday 07:45 - 16:45
Friday 07:30 - 15:00

Telephone

+27514031900

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