Professional Series eFILING MANUAL

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					iTax Connect - April 2010                                                      1

Professional Series eFILING MANUAL  

iTax Connect

April 2010

This manual deals with the eFiling interface aspects of Tax Manager and Tax
Advisor. We now call this product offering iTax Connect. For detailed information
on how Tax Manager and Tax Advisor work, please refer to the Tax Manager
and the Tax Advisor Manual.
iTax Connect - April 2010                                                                                              2

Table of Contents 

Professional Series eFILING MANUAL................................................................. 1 
1.     A Word on eFiling Technology .................................................................... 3 
2.     Introduction ................................................................................................. 4 
3.     Tax Manager and Tax Advisor - Interaction with SARS .............................. 5 
4.     Benefits ....................................................................................................... 6 
5.     Preparation of Data ..................................................................................... 6 
6.     eFiling Setup Screen ................................................................................... 9 
7.     Introduction to eFiling Provisional Tax ...................................................... 10 
8.     eFiling Registration Of A Taxpayer ........................................................... 10 
9.     To Register A Taxpayer With SARS eFiling .............................................. 12 
10.    eFiling Retrieve IRP 6 ............................................................................... 13 
11.    eFiling Submit IRP6 Forms To SARS ....................................................... 15 
12.   Practical Aspects of Provisional Tax eFiling .............................................. 16 
13.    Tax Return eFiling ..................................................................................... 16 
14.    Retrieve Tax Forms and IRP5’s from SARS ............................................. 17 
15.    Page 1 of the Tax Return or the Demographics ........................................ 18 
16.    Version 2 of a Tax Return ......................................................................... 20 
17.    The IRP5 ................................................................................................... 20 
18.    Submit from Tax Advisor ........................................................................... 21 
19.    The eFiling Submission Grid ..................................................................... 22 
20.    Once Submitted into the SARS eFiling System ........................................ 23 
21.    Statement of Assets .................................................................................. 23 
22.    Important Points to Note about EFiling Tax Return Submissions .............. 24 
22.    Receiving Assessments ............................................................................ 25 
APPENDIX B – EFILING INSTALLATION PROCEDURES ................................ 26 
APPENDIX C – COMMON ERROR MESSAGES............................................... 28 
iTax Connect - April 2010                                                              3

 1. A Word on eFiling Technology 
      Currently the method that Accfin uses for eFiling is called the Direct Interface
      method. This gives programs like Tax Manager and Tax Advisor the ability to
      interface directly with the SARS eFiling server. It is important to understand that
      eFiling is a process that we are going through which is going to take place over
      the next three to five years. New features will be added all the time.

      Accfin calls its eFiling interface iTax Connect so as not to confuse it with the
      SARS eFiling offerings.

      At the time of writing this manual we handle;
          1. The full provisional tax process; and
          2. The tax return process for individuals.

      We will soon be following up with receipt of assessments and submission of
      companies and trusts tax returns. We will continue to keep this document up to
      date as features and circumstances change.

      SARS provides the eFiling functionality by way of web services. Wikipedia
      defines a web service as follows:-
      A Web Service (also Webservice) is defined by the W3C as "a software system
      designed to support interoperable machine-to-machine interaction over a
      network. It has an interface described in a machine-processable format
      (specifically WSDL). Other systems interact with the Web service in a manner
      prescribed by its description using SOAP-messages, typically conveyed using
      HTTP with an XML serialization in conjunction with other Web-related standards."

      Another term that we use is XML which is defined as follows; XML (Extensible
      Markup Language) is a set of rules for encoding documents electronically. It is
      defined in the XML 1.0 Specification produced by the W3C and several other
      related specifications; all are fee-free open standards.[1]
      XML’s design goals emphasize simplicity, generality, and usability over the
      Internet.[2] It is a textual data format, with strong support via Unicode for the
      languages of the world. Although XML’s design focuses on documents, it is
      widely used for the representation of arbitrary data structures, for example in web
      SARS besides providing the web services functionality to independent software
      vendors also provides a website where individuals i.e. tax practices or taxpayers
      themselves can interact with SARS on a one to one basis.
      One of the issues or questions that we are continually faced with certainly by big
      accounting firms and big institutions that use our software is “what protection
      mechanisms are there to prevent hackers from getting access to our tax data”.
iTax Connect - April 2010                                                               4

      On the eFiling workstation a SARS DLL which is called an encryption wrapper is
      installed and what this does is that it sends data in an encrypted format. The line
      used is a secure line. When it reaches SARS it will then get decrypted and
      processed in the normal course of events.

      The chances of anyone hacking this encryption are really remote!

 2. Introduction 
      In order to make use of the SARS eFiling system or iTax Connect through Tax
      Manager and Tax Advisor you are required to install some additional software
      and register with SARS eFiling before you start the installation. This is a once off
      installation. See the sections on installation at the end of this manual. Once this
      is done you may access the available functionality that SARS eFiling has made
      available to iTax Connect.

      SARS provides an eFiling website which has various functionalities at You may register on this site to make use of various
      services. When making use of the SARS website you have to do the processing
      on a one to one basis. E.g. if you were to make use of the SARS provisional tax
      system you would process all your provisional tax and then when you have
      finalized the figures in Tax Manager you would have to re-input them into the
      web site one by one. Of course even before this you would have to go and
      register each taxpayer one by one on the SARS eFiling website. This is not
      suitable for users of Tax Manager as it involves much duplication of work and
      processing. Tax Manager Users want to process their work in bulk and then
      update the SARS eFiling system automatically.
      The same could be said of users who use Tax Advisor or even other tax
      calculation programs for that matter. They would do the work in the program and
      then have to re-enter the data into the SARS eFiling website. This is a major
      duplication of work.

      There is a solution for this duplication of work. It is for Tax Manager and Tax
      Advisor to interact directly with SARS eFiling from within the applications by
      making use of iTax Connect. In order for you to do this you will need to
      understand some important concepts.

      This documentation only deals with eFiling aspects. EFiling is really the flow of
      data from SARS to Tax Manager, Tax Advisor, and then from these products
      back to SARS. It is absolutely imperative that the user of these products
      understands all the software operational rules around the use of provisional tax
      and the submission of tax returns. These rules are contained in the sections of
      the Tax Manager and the Tax Advisor Manual. Please ensure that you read all
      the appropriate sections in these manuals.
iTax Connect - April 2010                                                               5

 3. Tax Manager and Tax Advisor ­ Interaction with SARS  
      Tax Manager will interact with the SARS eFiling server using the Direct Interface
      method on the following basis:

      For Provisional Tax
      Register a taxpayer with eFiling and receive a receipt to this effect. Pull down
      the taxpayers IRP6 Forms data into the IRP6 Forms Received database of Tax
      Manager. When the provisional tax has been processed and finalized in Tax
      Manager, the IRP6 forms are submitted electronically to SARS eFiling.

      For Tax Returns IT12TR
      You will be able to retrieve tax returns from SARS eFiling directly from the
      website into Tax Advisor. This will include all the front page information or
      demographics as well as all the IRP5’s that are contained in the Adobe Form on
      the website. You will be able to submit individual tax returns to SARS eFiling
      from within the iTax Connect menu of Professional Series.

      For Tax Returns IT14
      As part of the same tax return retrieve process you will be able to retrieve an
      IT14 tax return so that you can do the necessary preparations for submission.
      The IT14 tax return will download the first page information. It will be part and
      parcel of the same retrieve process of IT12TR. When a retrieve process is run
      the system will automatically detect the tax return type and carry out the correct
      instructions accordingly.

      We have received the specifications from SARS with regard to the way they are
      going to send assessments electronically back to us, and we will be
      implementing this shortly.

      In the ideal environment this is a diagram illustrating how eFiling works in the tax
      return environment.
iTax Connect - April 2010                                                               6


 4.     Benefits 
       There are huge benefits in having such an electronic system. The benefits to the
       Tax Practitioner community and SARS are immense as there is a tremendous
       reduction in duplication of administration work. The fact that data will flow
       electronically through cyberspace means that one is not making use of a postal
       system and that when the system is working perfectly you can be assured that
       the intended recipient actually receives an assessment. There is also no
       punching of information as various documents and forms are completed totally
       electronically. The Tax Practitioner also has proof that the tax return has gone
       into the SARS system and does not have to rely on it being manually processed.
       With the ability to download assessments and receipts and balance of account
       SARS are going to reduce their call centre calls dramatically from Tax
       Practitioners and Customer Centre visits. This will have a major time saving on
       all parties concerned and will be beneficial to the country.

5.     Preparation of Data 
       There are some important points about data preparation that have to be
       understood before you commence the registration process. It is important for the
       Client Maintenance screen to have at least some of the fields illustrated below
       entered properly with the correct information. There are a number of fields in the
       database that you need to prepare before you can consider registering the
       taxpayer as an eFiling client, otherwise each time you click on the register button
       the system will connect to the eFiling server and then come up with a whole lot of
       errors because it performs various validation procedures to make sure that the
       data you are sending through to the SARS eFiling server is correct. We detail
       below the most important fields that you need to check, before you commence
       with eFiling and the registration of taxpayers.
iTax Connect - April 2010                                                               7

      Before there can be a registration of any clients on the SARS eFiling system the
      following items should be checked very carefully in client maintenance.

      There should be a valid tax number. If you try and register a client without a
      valid tax number an error message will be reported.

      A valid identity number or a valid company registration number in the case of
      an individual, company, close corporation or trust must be entered.

      It is imperative to have the year-end month. “2” for February, “8” for August
      etcetera. If there is no year-end the system will not allow registration to take

      The taxpayer must be ticked as a provisional taxpayer on the taxation tab of the
      client file if the taxpayer is a provisional taxpayer. In the Receiver Branch File a
      valid eFiling Tax Area must be entered. The tax area code is obtained on the
      Receiver Branch maintenance screen. Please see a list of the tax areas below.

                   BRANCH                                   BRANCH
      1.           Beaufort West               26.          Springs
      2.           Bellville                   27.          Standerton
      3.           Cape Town                   28.          Vereeniging
      4.           East London                 29.          Witbank
      5.           Paarl                       30.          Nelspruit
      6.           Kimberley                   31.          LBC Gauteng
      7.           Port Elizabeth              32.           Giyani
      8.           Uitenhage                   34.          Lebowakgomo
      9.           Worcester                   35.           Sibasa
      10.          George                      36.          Mmabatho
iTax Connect - April 2010                                                               8

      12.          Umtata                      37.          Benoni
      13.          Durban                      38.          Boksburg
      16.          Bloemfontein                39.          Brakpan
      17.          Kroonstad                   40.           Germiston
      18.          Welkom                      41.          Johannesburg
      20.          Head Office                 42.          Nigel
      21.          Klerksdorp                  43.          Randfontein
      22.          Krugersdorp                 44.          Roodepoort
      23.          Polokwane                   45.           Alberton
      24.          Pretoria                    49.           Western Cape LBC
      25.          Rustenburg                  50.           KZN LBC

      There is also other data which although not critical for taxpayer registration
      purposes is important for eFiling purposes.

      Example; the Tax Practitioners practice number which must be inserted in the
      partner file. Bank account details are also very important. Details of addresses
      are also important

      Each taxpayer needs an e-mail address generally their own, and we recommend
      that the Tax Practitioner has a unique email address as this is the one that will be
      used for all communications with SARS.

      E-Mail Address – Make sure that you have the clients e-mail address in the
      appropriate space in the client file. However we recommend that you use the
      firms e-mail address which is in the eFiling setup file. By checking the
      appropriate check box as you do not want the client to get all the return e-mails
      and notification from SARS.
iTax Connect - April 2010                                                                 9

       The email address above would be the e-mail address that would be sent with
       every taxpayer, in other words all notifications etcetera will come back from
       SARS to this e-mail address.

6.     eFiling Setup Screen 
       The screen below has to be configured properly for communication to take place
       with SARS.

       If this screen is not set up properly you will not be able to connect to eFiling. All
       the codes and keys need to be obtained before installation occurs.

       There are only a few things needed for the installation of eFiling.
       All the eFiling functionality is contained in the latest version of Professional
       Series. Always ensure you have the latest version by checking with the Accfin
       Support website :–

       There are also some additional software requirements listed below eFiling
       Installation of eFiling Service

       The .NET (dot net) framework needs to be installed or if you already have one
       you need to make sure you have the latest version of it. (v.1.1.4322 or later).
       We will install this or make it available to you.

       The dll provided by SARS eFiling for the encryptions needs to be copied into the
       Professional Series directory and registered with windows. We will install this or
       make it available to you.
iTax Connect - April 2010                                                             10

      In order to run eFiling you have to register with SARS eFiling and they will supply
      you with an applications key as indicated in the screen above. You will also
      obtain a vendor key from Accfin.

      Despite the fact that we recommend that it is in every practices’ interest to have
      one seat, there will be some situations where multiple seats must be set up. The
      software is quite capable of running multiple seats but each seat must be
      contained on a separate terminal. The trick in setting up multiple seats is that
      when we install we will make sure that each taxpayer can only work with the
      correct profile.

7.    Introduction to eFiling Provisional Tax 
      The diagram below indicates the provisional tax eFiling processes.

8.    eFiling Registration Of A Taxpayer  
      All provisional tax clients must be registered via the iTax Connect menu of
      Professional Series. All tax return clients must also be registered via the iTax
      Connect menu of Professional Series – In fact both processes can be registered
      on the same screen. Your clients may already be performed on your eFiling
      profile on the SARS eFiling website; however SARS requires you to connect
      these clients from within the Professional Series system. This is done by clicking
      on synchronize. Essentially this is to connect the SARS website data to your
iTax Connect - April 2010                                                               11

      New provisional or tax return clients can be registered from within our system
      without adding them to your website profile.

      This is a once-off process and you will not have to do it again.

      In order to access the registration taxpayer screen, click on the iTax Connect
      menu . This screen can be used to register a taxpayer both for provisional tax or
      tax returns.

      The screen above displays the status of each taxpayer from an eFiling point of
      view. The screen has multiple filter views which will allow you to set up what
      taxpayer group you want to view. You can look at a particular taxpayer or say a
      partner group or a year end group. By clicking on the Activate Button the Show
      Only Parameters selected will display. You may set the status of the taxpayer
      that you want to work with by clicking one of the radio buttons, registered,
      pending, non-registered. Obviously if the taxpayer is not registered you will
      click on that one. By clicking on the taxpayer type you can select the type of
      taxpayer that you want to work with, for example IT14, IT12 etcetera.

      You can also list one client at a time by inserting the code or tax number in the
      search option area. You can also setup unique filters to show a particular filter
      group by setting up your filter in the normal way and ticking the activate button.
      The current Filter Area and show only area are mutually exclusive. In order to
      clear a filter click on the clear button which is to the left of the activate button.

      If you already have set up all your provisional and tax return taxpayers on
      SARS eFiling website all you need to do is press the Synchronize button and
      all the taxpayers will be pulled through automatically and registered on the above
      grid either as provisional taxpayers and tax return taxpayers.
iTax Connect - April 2010                                                                12

      There are various buttons that need explanation;

      Exceptions. - When doing a full synchronise we get a list of all efiling taxpayers
      for that profile from the server. We use this list to fill in the internal ID for the
      taxpayer. When we encounter a taxpayer that is not in masters we create this
      taxpayer as an exception. The exception button let you view these taxpayers as
      well as print them.
      Audit Trail – This keeps a records of all interactions with SARS
      Status Report – this gives a list of the registration status of each taxpayer with

      There is a difference between a Full synchronise and a synchronise. The full
      synchronize first checks a list we receive from the SARS server and then fills in
      all internal ID’s after this it then checks the statuses of the tax types. The
      synchronise just checks the statuses of the tax types and of course is much
      faster. A full synchronise only has to be run once or twice.

9.    To Register A Taxpayer With SARS eFiling  

      The screen above is designed to register a taxpayer for eFiling and to display the
      status of each taxpayer with the eFiling server. In order to register the client it is
      necessary to display the client in the view area or grid of the screen. We suggest
      that the first time you do this you do it on a small batch or one at a time until you
      get the hang of it and until you have successful results. The same screen
      handles Provisional Tax and Tax Return eFiling.
iTax Connect - April 2010                                                             13

      In order to register a taxpayer tick the tick box under the Registration Column
      next to each client either Provisional Tax or Tax Return and when satisfied with
      the listing click the Register button on the bottom of the screen. The system will
      go through a processing stage and validate the data for each taxpayer being
      registered and various columns in the grid will be updated. The taxpayer and
      payer status will be updated accordingly. It will display queued if successful
      and will eventually display success and the PTAX STATUS and RETURN
      STATUS will show ACT for activated.

      When registration has taken place successfully on the SARS side an electronic
      receipt will be returned and the date will be written into one of the files on the
      system. The printing of an audit trail will indicate dates and times as to when a
      status changed.

      Where registration has failed you will get an error message which may give you
      an indication as to why it has failed. If you are unable to register a taxpayer you
      should take this up with Accfin support who will direct you accordingly. [See
      error codes in Appendix C] It may be necessary to take the matter up with
      eFiling call centre.

      Were a taxpayers’ registration is submitted successfully it will state Queued and
      will be Registered soon. As a general rule registration this will take about 24 –
      48 hours per taxpayer. If it takes much longer than this please contact Accfin
      support and we will investigate on your behalf and advise accordingly. To see
      which taxpayers are not registered click on the pending radio button and then

      After a period of 24 to 48 hours click on the Synchronize button on the
      registration grid screen to see if SARS has accepted the taxpayers registration
      details. If SARS accepts those details the status will change to SUCCESS and
      the type status will change to ACT for activated.

10.  eFiling Retrieve IRP 6 

      Select the iTax Connect menu and Retrieve IRP6’s and the following screen will
iTax Connect - April 2010                                                               14

      Once the taxpayer has been registered with eFiling, the IPR6 retrieve process
      will pull down the IRP6 forms (i.e. the data on the form) into the IRP6 Forms
      Received data entry routine and populate the fields as if you were entering them
      manually or scanning them directly in to Tax Manager. This can only happen
      when the IRP6 data is available on the SARS eFiling site. SARS normally sends
      an e-mail indication when the forms are available and ready for download by way
      of e-mail.

      You should be fully familiar with the different laws for P1 and P2 which we will
      deal with under Provisional Tax in the Tax Manager Manual. Essentially what
      you are downloading is the raw Provisional Tax Data.

      Before you start the download set the filter that you want so that you can display
      only the clients that you want to work with. Perhaps you want to work with a
      particular partners client. Click the down arrow, choose the partner you want and
      then click on registered and then activate. The screen will then display the
      clients you want to retrieve. You are now in a position to click the retrieve button.

      You can also retrieve one client at a time by clicking on the client you wish to
      download and then click on the Retrieve button. The data contained on the
      SARS eFiling server will download into the IRP6 Forms Received program of
      Tax Manager.

      Once the data is downloaded, the data will display in the 2nd part of the grid
      above. You will also be able to see the information on the IRP6 forms received
      database. If at this stage you printed your forms the IRP6 forms will print with
      only the SARS Estimated Income column populated. For more information on
      provisional tax please refer to the Tax Manager manual.
iTax Connect - April 2010                                                         15

11.  eFiling Submit IRP6 Forms To SARS 

      Please note, only if IRP6 data has been downloaded in the first place using the
      iTax Connect Retrieve Option can it be submitted back to SARS. If you have
      captured an IRP6 form manually within Tax Manager, you will not be able to
      submit it using Tax Manager [i.e. retrieve IRP6 form data] eFiling system
      because this means the Provisional Taxpayer is not registered electronically or
      not connected to your system.

      Before you run the submit option you need to ensure that you have all the
      approvals in place from your client. It should be noted that this part of the
      manual does not deal with the Provisional Tax process as this is a whole
      discussion on its own. Please refer to the Provisional Tax process in the Tax
      Manager Manual.

      The submit screen is the place where you can submit the completed IRP6 form
      data by clicking on the submit button on the bottom of the screen. Before you
      start set your filter so that you only see the taxpayers you want to submit.

      On the screen below tick which clients you wish to submit back to SARS and
      once you have pressed the Submit IRP6 button on the bottom of the screen the
      status will change to queued. After a period of 24 to 48 hours click on the
      Update Status button to see if SARS accepts your IRP6 provisional tax return
      submission. If SARS has accepted the figures submitted, the status will change
      to SUCCESS.

      If after this time period you do not get a SUCCESS and it still remains as
      QUEUED, you need to put in an urgent service call. Note that this grid is a
      record of your interaction with SARS eFiling.
iTax Connect - April 2010                                                              16

      By clicking on status report a full audit trail what has transpired can be produced.

12.   Practical Aspects of Provisional Tax eFiling 

      By its very nature because of the deadlines imposed by SARS being say 31st
      August or the 28th February it could be very risky to eFile Provisional Tax forms
      electronically at the last minute, simply because clients may change their minds
      as what to pay. Firms need to get their timing absolutely spot on because they
      need to obtain confirmation from their clients well before the due date, before
      they submit their forms. By leaving this for the very last minute the firm will be
      exposing themselves to all kinds of risk.

      An example of what may happen is that the Practitioner files an IRP6 form only to
      find out afterwards that the client taxpayer wants the figure changed. As a
      precaution the tax practitioner should make the return date from the taxpayer
      earlier, say the 20th February so that they can file the return on due date. The
      documentation to the taxpayer should indicate that the last date for the taxpayer
      to agree for the provisional tax payment should be the 20th February.

13.  Tax Return eFiling  

      Before you submit a tax return one needs to go through all the finalization
      processes to ensure that the tax return is correct in all its aspects. In the larger
      tax practice it would be a matter of setting up all the tasks or process steps and
      ensuring that all the tasks are ticked off. Even smaller tax practices will find
      major benefits from the tasking system. For more information on tasks refer to
iTax Connect - April 2010                                                              17

      the section on tasks in the Tax Advisor Manual. Where levels or user rights have
      been allocated to tasks, in other words the tasks are mandatory a tax return
      cannot be submitted until the particular task has been ticked off by the
      appropriate person with the right level, the mandatory tasks must be ticked off
      before the Submit button can be selected. An example of the task screen is
      displayed below.

      There are 4 main phases to a tax return submission. These are:

      1.     Retrieving the Tax Return Data from SARS eFiling which will include the
             Front Page data and all the IRP5 information.
      2.     Completing the return making sure it complies with all the rules and risk
             control procedures within the firm.
      3.     Submitting a tax return from within the Tax Advisor program to Tax
             Manager and in preparation for eFiling submission.
      4.     The actual submission of the return to SARS eFiling

             For more information on all the tax return processes refer to the Tax
             Advisor Manual.

14.  Retrieve Tax Forms and IRP5’s from SARS  
      Select the clients you wish to retrieve on the grid below and click the Retrieve
      button. The system will proceed to load Page 1 and all the IRP5 data. For more
      information on processing and entry of IRP5’s, please refer to the Tax Advisor
      Note that you can select filters to only show the clients that you want to retrieve.
      If you select type you can work with a particular tax return type.
iTax Connect - April 2010                                                               18

      If you click on a client on the top part of the grid the IRP5 certificates downloaded
      will display on the bottom part of the grid.

      IRP5 information must have a PAYE reference number otherwise on
      submission the data won’t pass the validation. In order to get the returns status
      report click on the printer button.

      If you want to do a version 2 of a tax return see Section 16 of this manual.

15.  Page 1 of the Tax Return or the Demographics 
      Make sure that Page 1 of the return is correct after a retrieve of the SARS data
      has been done.
iTax Connect - April 2010                                                               19

      The Page 1 screen is critically important in so far as a tax return is concerned as
      all the data that is listed on this screen will find its way onto Page 1 of the tax
      return. There may be a few white areas above which will allow you to enter
      certain data. E.g. We do not at this stage carry unit numbers in Tax Manager.

      We discovered that many Practitioners were putting in their own telephone
      numbers and their own cell phone numbers to prevent SARS from phoning their
      clients directly. We have taken this matter up with SARS and it is absolutely
      imperative that the client’s details are entered correctly and could be subject to
      censure from SARS. By not doing this you will not be filling in the returns

      The screen above reflects the page 1 information on the tax return and some of
      this information should coincide with details from the client file. On the bottom
      left hand side of the screen it says Default From Master and then below that
      default from Tax return. If you click on Master it will pull all the data in from the
      master file. If you click on Tax Return it will pull in all the data downloaded from
      the tax return. You may edit the white area.

      You need to be very careful as to how you handle this page because this data is
      part of the Tax Return information that has to be filed and sent through to SARS.
      As a rule you should make sure that the client file has the information that you
      wish to appear on the tax return. In order to check this print out the appropriate
      report in Tax Advisor.
iTax Connect - April 2010                                                            20

      Some points to note
      Bank Account Type must have either a ‘C’ or an ‘S’ (cheque or savings) and
      cannot be blank.

      The Tax Practice number cannot be blank and cannot have any spaces or any
      other character in between them.

      Date of birth will be submitted from the client maintenance and not what was

      Marital Status will be submitted from the calculation in Tax Advisor and not what
      was downloaded from SARS.

16.  Version 2 of a Tax Return 
      If it is necessary to create a Version 2 of a tax return a request for correction
      must be made on the iTax Connect retrieve tax return grid. This will take up to
      24 hours as this process is done overnight. (If you do it on a website the request
      will be processed immediately). It will then be necessary to retrieve the form
      again and change what needs to be changed before submission. On submission
      via the iTax Connect module of Professional Series the return submitted will
      become Version 2.

      Where it comes to your notice that after submitting a tax return to SARS that
      there is an error or something blatantly wrong with the tax return you can make a
      request for a second tax return, however it is always best to get the tax return
      right the first time around.

17.  The IRP5 
      Retrieval of IRP5’s will update both columns in Tax Advisor. IRP5 detail input.
      Where a manual change is done column 2 will be change. The original column
      that was imported from SARS in the first place will remain the same, so you will
      always be in a position to see the differences.

      In the screen below the IRP5 data has been entered manually.
iTax Connect - April 2010                                                              21

      When we re-import or refresh changes it will be taken into account only where
      there were no manual changes.

      If you run a process of retrieve IRP5 for your whole client base, say at the
      beginning of the season, then before you start a particular taxpayer’s return you
      should always retrieve the IRP5 for that particular taxpayer once again to ensure
      that all changes are taken into account as it may be that the employer of the
      taxpayer has re-submitted the IRP5.

18.  Submit from Tax Advisor  

      The first step in eFiling a tax return is to click on the submit button on the top
      right side of the TAX ADVISOR screen. (See the screen below)

      After all the appropriate work has been done and after you have pressed the
      submit button on the screen above the effect to this is that the entry is written to
iTax Connect - April 2010                                                               22

      Tax Manager data entry Submissions File and the entry is then also made
      available for iTax Connect to submit to SARS. These taxpayers are classified as
      taxpayers prepared for submission for iTax Connect and are ready to go off to
      SARS. It should be noted that at this stage the data has not been eFiled.

      In the process of preparing the tax data for submission it is important that the firm
      adheres to it’s rules on finalizing a tax return and the relevant risk control
      measures. It is important that you familiarize yourself with tasking so that you
      can track and control the progress of each tax return.

19.  The eFiling Submission Grid 

      Please note, you can only submit a tax return if you have previously retrieved it.

      You are now ready to submit the tax return straight into the SARS eFiling system.
      Access the iTax Connect submit screen under the iTax Connect menu. It will
      look as follows:

      You will notice that there should be a date in the Date Prepared column. If you
      tick the checkbox on the right hand side of the date prepared column and then
      you click the submit button on the bottom of the screen, the record of the
      taxpayer selected is then written straight into the SARS system.

      Until you actually submit the file you may make as many changes as you like to
      the tax return and re-submit the form continually for final sending. You can also
      retrieve the return and IRP5 data into Tax Advisor as many times as you want
      provided you do not actually eFile the return. However, once you have submitted
      you are unable to make changes, unless you decide to do a second version.
      See below for more information.
iTax Connect - April 2010                                                            23

20.  Once Submitted into the SARS eFiling System 

      Once the return is eFiled and you wish to make changes then the system will
      automatically force you to eFile version 2 and make a change in the version
      number of the return after certain formalities.

      Currently at this stage you must process a notice of correction on the SARS
      eFiling website (or on the iTax Connect tax return retrieve grid) to make any
      changes you wish to make in Tax Advisor. You can only make changes after you
      have done a retrieve of a new return requesting a correction. See screen below.

      Provided you have not submitted the return changes can be done without the
      changing of the version number, for example you can add more IRP5’S, you can
      add additional figures, you can change figures and by running the whole process
      the data that you change within Tax Advisor will land up in it’s changed form on
      the SARS eFiling system. If for some reason there is a new IRP5 that is
      available on the website, after a retrieve this information will be updated to Tax

      The new calculation can be re-prepared and re-submitted without any problems.
      It is only after submission and you wish to change it that a new version number is

      It is because of the above it is important to have all your internal procedures
      correct and that you eFile the returns when it has been reviewed and finalized.

21.  Statement of Assets  
iTax Connect - April 2010                                                                24

      If there is business income in the tax return the taxpayer is required to input a
      statement of assets and liabilities. This is the responsibility of the taxpayer or the
      tax practitioner. If no statement of assets is done the system will force through
      zero’s on eFiling. The onus is on the taxpayer to ensure that the tax return is
      completed correctly.
      In order to alleviate the problem of getting the opening balances and fixed assets
      we have created a spreadsheet which you will find on our support website,
      www.accfinsoftware/support and early in January we will have a piece of
      software that will import all the balances.

22.  Important  Points  to  Note  about  EFiling  Tax  Return 

   1. We now cater for new version numbers of a tax return; a request for correction
      must however be made on the SARS eFiling website first. The return must be re-
      downloaded into the Tax Advisor system by doing another retrieve. You cannot
      submit the new version if you have not downloaded the new XML data.
   2. In the instance of 1 above a new version number will be created in Tax Advisor,
      but only if there is a date submitted in the e-filing submission screen, if there is
      no date the version number will remain the same.

   3. If there is business income in the calculation you are required to input your
      assets and liabilities, however we will force through zero assets and liabilities if
      the user does not input the assets and liabilities. The Tax Practitioner should be
      aware that they will be held responsible if SARS queries the submission.

   4. If there is business income in the calculation and it is a loss the XML will now
      contain a ring-fenced indicator, it will be either Y or N. make sure that you have
      checked the right indicator on the business income sheet.

   5. If the calculation was submitted in Tax Advisor but not in e-filing the user does
      not have to click on the submit button again if they made any new changes in
      Tax Advisor, the new changes will still go through to the XML and e-filing.

   6. If the client is ACTIVATED for tax returns and the user clicks on the submit
      button in Tax advisor without downloading an IRP5 [i.e. retrieve tax return] a
      warning message will appear advising why IRP5 were not downloaded.

   7. If the client is not ACTIVATED for Tax Returns and they click on the submit
      button in Tax advisor no version number is created, also no record in the eFiling
      statistics files will be created.
iTax Connect - April 2010                                                            25

   8. If the calculation contains any non-taxable income the system will force through a
      3696 source code to the XML data, the user does not have to input it anymore.

   9. Descriptions for other deductions and other exempt income will pull through to
      the XML now.

22.  Receiving Assessments 

      We are going to be going live with assessments soon. Very soon you will be able
      to retrieve assessment by selecting retrieve for the iTax Connect menu.

      We are going to handle the receipt of assessments in three phases. The first
      phase will be to populate data entry assessment in Tax Manager. We have
      provided a procedure that retrieves assessments and this will populate all the
      fields in data entry assessments in Tax Manager. This is a very important risk
      control procedure which will prevent embarrassing calls to your client by SARS
      asking for money.
      The second phase is that we will have an ability to download the Assessment
      PDF, the Balance of Account PDF as well as any Notices that come along with
      the Assessment. SARS are going to provide us with a stripped down version of
      the PDF’s so that they are small in size, perhaps in the region of 20 or 30
      kilobytes each. These files will be downloaded to a particular folder on your
      system. A Data entry Assessment tab will allow these files to be opened
      automatically by method of a link which will be automatically created.
      The third phase of receiving assessments will be to obtain each amount and the
      source code line by line. There seems to be a problem in the way SARS
      presents the data but they have undertaken to give us this information and we
      hope to have the 3rd phase implemented soon.
iTax Connect - April 2010                                                                 26


Before you commence with installation there are some rules in relation to proxy server
that must be understood.
Detailed below is an extract from SARS documentation to us in respect of the proxy
server. Your IT people should be able to set this up provided they can open up port 443
on the network.
“The integrated eFiling ISV service is available to accredited Independent Software
Vendors (ISV) for the purpose of exchanging various types of data between the ISV
application and the eFiling service. This service is in line with SARS standards and
requirements in order to provide electronic interfaces for the various tax services
available on eFiling.
Access to the web services provided by eFiling will be available on a permanent basis
and accessed by accredited and registered users only. The use of https web services
with 128 bit encryption is intended to provide the highest security levels for the exchange
of data between the application and eFiling service.
The official submission channel will however remain to be the production web services
The service is available on the following URL:”
Where there is no proxy server running connection should be obtained without a
problem. Where there is a proxy server the port must be opened and the ISP may have
to change certain settings or settings on the firewall. If you are unable to get it working
you should contact us immediately.

The port 443 must be open. The destination address secure
must have no proxy set. The proxy must be set of course on everything else and once
the proxy is not set on this address automatic access will be granted and it is secure.


Accfin will supply a CD with all the necessary iTax Connect software. This section deals
with the additional software that you require and has to be installed in order for you to
run iTax Connect successfully. This process needs to be completed on each machine
that will use the eFiling Interface. In other words this is the terminal that has the eFiling

1.     Make sure that the workstation is on at least version 1.0.3705 of the
       Microsoft.Net Framework. Below is a quick way to check which version the
       machine is on:
iTax Connect - April 2010                                                            27


2.    Register the encryption wrapper dll file supplied by SARS eFiling.
      -      On the CD provided there is a file called EncryptionWrapper.dll as well as
             a file called regasm.exe. Copy both these files to the Professional Series
             folder on the local eFiling machine.
             Where dot net is 2.5 or higher make use of regasm.exe that is on the
             workstation and not on the CD
      -      Run the command window by typing in CMD in the start->run menu as

      Change the folder to your local Professional Series folder and type in the
      following command “regasm encryptionwrapper.dll” in the CMD window. It must
      say type registered successfully as on the screen below.

3.    Update Professional Series to the latest version as per normal procedures.
4.    Copy the eFiling.CFG file provided on the CD to the local Professional Series
      directory. This file holds information needed to connect to the eFiling interface.
iTax Connect - April 2010                                                                 28



This error refers to the receiver branch, which the client was assigned, not having a valid
eFiling tax area code. A different receiver branch should be assigned but must have a
valid eFiling tax area code, if the original one is not on the list the next closest receiver
branch can be assigned. Make sure that you allocate the area code under Masters
receiver branch code.


This error occurs when trying to retrieve IRP6’s, it is a SARS generated message. It is
not an error rather it means that SARS has not issued an IRP6 for that client as yet. You
should try retrieving the IRP6 for that client later or put in a service call.

iTax Connect - April 2010                                                                    29

This error refers to the postal code in your company setup screen; Make sure that the
postal code is the last item in the address field. Refer to the screen below.


This error may occur when trying to establish a connection to E-Filing. This means that
the setup information has been erased on the E-Filing PC. In Proseries go to E-Filing>
Setup and fill in the information again. After filling it in you will then be able to connect to
iTax Connect - April 2010                                                            30

E-Filing once again. If you do not know what the setup information is, please contact
Accfin Support.


This error may occur when trying to submit the return in E-Filing. This error means that
the client’s bank branch number is invalid or has an invalid value/character. Go to that
client’s calculation in Tax Advisor and on the Pg 1 Info tab to check the branch number.
Refer to the screen below.

iTax Connect - April 2010                                                               31

This error may occur when trying to establish a connection to E-Filing. To solve this error
you need to be on at least release 08/08/2009, go to E-Filing> Setup, once the screen
opens close it without editing anything. A window should pop up asking you to overwrite
the existing file, click on yes. Refer to screen below. You should no longer get that error

When it comes to eFiling you should always ensure that you are on the latest
Professional Series release.

iTax Connect - April 2010                                                                32

If this error appears the user is possibly trying to do E-filing on a PC that was never
setup for E-filing. However, it may also be a path problem. Check the data paths and
start in on the short-cut, the target must point to the C:\. The program is basically trying
to locate the Encryptionwrapper.dll file in the C:\Proseries folder.


This error may come up when trying to submit the return. It refers to the unique code in
the business income screen. The unique code must be numerical, no alphabetical
characters can be used. Refer to the screen below.

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