The Basics

DISCLAIMER: Note that I’m not a TAX practitioner and you should always seek independent TAX advice.

Very Important

When you join AVON you are an independent contractor, meaning you are not an employee of the company and therefore AVON does not deduct TAX payments automatically from your commission to pay on your behalf to SARS.

This means you will have to declare your income from AVON when you submit your TAX return every year. Make sure you declare and pay it on time to avoid penalties.

Also note, there is a minimum threshold that your income from all sources needs to reach before you will be liable to pay tax. Check with SARS what the minimum threshold for this year is to find out if you will need to pay tax.

When you are a leader you will be sent an IRP 5 TAX document yearly by AVON that declares your income to SARS for the previous year that you will be taxed on.

You can go to the SARS offices every year with your IRP 5 that you have received from Justine Avon before the deadline.

Personally we use an accountant or TAX practitioner to help remind us about the paperwork and to submit it on our behalf.

Put about 20% of your commission aside every month so that you can pay your tax yearly. As your salary grow you keep an eye on the SARS levels of income to determine how much you must put aside.

It is not to say that all the money you put aside will be used for your TAX payment, but rather save more than less. The extra money you saved will help you upgrade your life.

Claiming Deductions

LUCKILY one BIG benefit of being an independent contractor instead of an employee is that there are many things that you can claim for and that can get deducted from your SARS payment if you keep the slips.

NB: Always keep slips of all your business expenses and stick it on paper neatly and keep it safe in a file.

These are some of the expenses that you are able to claim, basically it’s everything that helps you with your business:

Postage
Stationary
Courier fees
Samples and brochures
Vehicle expenses and fuel (you will need to keep a log book)
A portion of your house that you use for your office so if you pay rent, keep the rent contract. Keep the slips when you buy electricity etc.
Printer cartridges
Cell phone and airtime
Data
Computer/Laptop
Restaurant slips (if it’s for business purposes where you meet consultants/reps etc.)
Advertising costs

Getting Your Payslips Online

In your browser go to https://bcx.payus.co.za/ and tap/click on the "View your InfoSlips online" button.

You can go here from your phone or your computer browser.

Next, click on Register, if you have already registered on here, just enter your email address, then tap next and then type your password.

Once you are logged in, you will be able to view your IRP5 and payslips.

If you are unable to get a username and the website says that your email address is invalid, then you will need to contact AVON head office directly so they can give you a contact person at BCX who will fix it for you. Send email to leaderqueries.sa@avon.com.

Your Business And Tax

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Introduction and Earnings

Recruiting and Building Your Team

When Your Rep Is Registered

Navigating Your Back-Office

Queries

Returning Products

TAX

Quiz