letter from accountant confirming income south africa

Below are some circumstances that banks commonly ask for clarity around. As you may noticed on the given examples, it is a brief and straightforward letter containing all the necessary facts about the employment and corresponding income of the employee. In addition to this, the lender may also ask for an employment verification letter in order to demonstrate that the borrower has a steady source of income. Use these gift letter templates provided by the banks to prove the source of your deposit. To register a South African Close Corporation (CC) visit www.saclosecorporations.com . The Companies and Intellectual Property Commission (CIPC) is recognising the following accounting professions for purposes of appointment as accounting officers in terms of the Close Corporations Act, 1984: The South African Institute of Chartered Accountants (SAICA) The wording I use is: "Enclosed is a copy of a letter from 'name of client' requesting we act as accountants. Morning all My client pays someone whose accountant has sent a letter confirming that the employee's entity (a CC) does not earn more than 80% of income from 1 source, and therefore no PAYE should be deducted by my client from the payment for work performed. A tax return is form given by the authorities in the IRS which states the income, expenses, and other pertinent tax information of an individual. A letter from accountant confirming income will help clarify these issues and can often allow lenders to bend their guidelines to accept home loans that they would otherwise decline. My partner and I cannot speak highly enough of him. Home Loan Types Which type of home loan product best suits your needs? Are you eligible for the First Home Owners Grant? A letter from your auditor confirming your personal income, as well as any personal expenses paid for you by the business; If your financials are more than six months old, you will need up-to-date signed management accounts; A personal statement of assets and liabilities, and personal income … An income verification is an important document because it helps provide a full picture of the borrower’s capacity to pay the loan or debt. John Dolan Senior Vice President Dolan Industries, Inc. 43 Oak Street, 2 nd Floor Portland, ME 04101. Dear Mr. Dolan, This letter is to verify that Seneca Williams has been employed at GMC Associates for the past three years in our Accounting Department. The wording of the disclaimer can be however the accountant sees fit. Some accountants are unwilling to write a letter confirming the particulars of your situation. This document helps verifies and confirms the borrower’s capacity to pay on time regardless of the mode or process of payment the lender and the borrower agree to follow. Find out how to apply if you're eligible for the FHOG. An accountant's letter, also called an auditor opinion, is a written statement describing an auditor’s independent, unbiased and qualified evaluation of the accuracy and completeness of a company’s financial statements and practices, as well as an evaluation of a company’s compliance with Generally Accepted Accounting Standards (GAAP). I have acted as an accountant and tax agent for the above mentioned client since 1/1/2010. A simple, easy to understand guide on the First Home Owners Grant (FHOG) for Victoria. Cashing out to invest in shares may require a letter from a financial planner or accountant confirming the loan purpose. This paper may mostly contains the following: the period to which the pay slip relates, the gross amount and net amount of the payment, any amount paid that is an incentive-based payment, bonus, monetary allowance, deductions for absences and contributions, etc. It is prepared by the accounting department of the company that you work for. you might be interested in job application letter examples. For this reason, it would be reasonable to assess these two entities as the same business when assessing John Smith’s ability to service a new loan. Provided below are a few other examples of probable and legitimate proof of income: When you are currently employed, your employer may provide a breakdown of your salary in a pay stub, also known as a payslip or paycheck stub. We act as the accountant for both John & Smith Family Printing Pty Ltd. We confirm that to the best of our knowledge Smith Family Printing Pty Ltd is trading at a profit and can pay all liabilities that it has. I understand that the Borrower has applied for a loan of $100,000, through ABC Bank, repayable by monthly instalments of $416.66 over 30 years at an interest rate of 5.00% per annum variable interest only. The lender requires for this king of document in order to make sure that the borrowing party is capable of paying the loan. As mentioned earlier, an income verification letter provide evidence of your capacity to pay a loan or rent an apartment as the borrower. comparison rate). Not sure what to do with your home loan agreement? We confirm that John Smith is operating as a sole trader that contracts to an IT business. Will your bank ask for your tax returns to approve your mortgage? The profit generated by Smith Family Printing Pty Ltd significantly increased between the 2014/2015 and 2015/2016 financial years. We always try to discuss your situation with the lender’s credit manager to try to avoid wasting your accountant’s time by requesting a letter. You might be interested in business proposal letter examples. They provided very clear information and responded to any queries quickly. We confirm that Smith Family Printing Pty Ltd is the same business that was previously using John Smith’s sole trader ABN. Basically, it is a verification of a person’s financial status. Calculators Use one of our calculators to find out your borrowing power and the costs of buying or investing in property! The South African Institute of Chartered Accountants (SAICA) is the pre-eminent accountancy body in South Africa. location Unlike in a formal letter, in this letter you can just use a general salutation such as “To Who It May Concern” followed by a colon (:). interest rate (2.94% p.a. Some lenders may require you to submit a letter stating that you are in fact working for the company. Sample Accountant Letters Confirming Specified Information1 It is acceptable for professional accountants to provide letters that addresses specified matters. We confirm that John Smith was previously employed as an IT consultant for 10 years before starting his own business in the same industry. For this reason, it would be appropriate to use the 2009/2010 financial years income to assess John’s ability to service a new loan. For most countries, it is an annual requirement to file a tax return for individuals or business with reportable income. Resources Essential tools and tips on everything from buying to investing in property. An income verification letter is an important document that verifies and testifies to the legitimacy of a borrower’s capacity to pay loans and debts. The First Home Owners Grant Queensland is a one-off payment to help first home owners manage the costs of buying a home. There are many more situations where the lender may require a letter from your accountant. Do you need a letter of employment for a mortgage? There are many different reasons why a bank may request an accountant’s letter so there are many different templates that you may need to use. This is required when the bank hasn’t seen financial statements or tax returns for the business. has in the last decade seen a big rise in the number of self-employed people, but why exactly is it so difficult for them to obtain bond finance?. Find out exactly which supporting documents lenders require when assessing your mortgage application. A comfort letter is a document of assurance issued by a parent company or an accounting firm Big Four Accounting Firms The Big Four accounting firms refer to Deloitte, PricewaterhouseCoopers (PwC), KPMG, and Ernst & Young. For this reason, it would be reasonable to assess his income in a similar method to that of someone who is employed on a PAYG basis. Find out how to apply if you're eligible for Victoria's FHOG. It should be sent by certified mail, to ensure a record of receipt. In a way, this can be called an employment verification letter. Find out how to apply. “ ...From the beginning the service, care and attention to my needs was outstanding. Most lenders will accept a faxed copy but some will require your mortgage broker to hold the original on file. South Africa. To make life easier for you, this page contains letter templates that your accountant can use when your bank asks you to provide evidence of your income. After the letterhead, you include the date when the letter was made or written. 2540+ Letter Templates in PDF | Word | Excel | Google Docs | Apple Pages | Google Sheets | Apple Numbers -, 2+ Complaint Letter to Service Provider Examples. I am registered with HMRC and have a Unique Tax Code and confirmation of National Insurance contributions. Aside from an income verification letter, banks or lending companies may require other proof of income. These payments given to you by your employer or client is reflected in your bank statements. Accountants may not be regulated in all states but CPAs are. It is direct to the point and doesn’t come off as conversational. Therefore, it reflects the amount the company pays you for a certain period. In addition, it helps the lender make a final decision basing solely on the formal letter and its legibility. The next paragraph of the letter is used for the other necessary information. This letter is often produced before the landlords, income tax department or banks as to give a proof that the concerned person is capable enough to take his/her responsibility. The income stated by the applicant, John Smith, on the self-certification form of $100,000 p.a. In order to open a new bank account I am required to provide a letter confirming the shareholding of the company. Accountant letter template. Other times, your financials don’t accurately reflect your yearly earnings, particularly if you’ve purposely reduced your income for tax purposes. A direct deposit statement is a reliable proof of income because it shows that you have a constant source of income through your employer. Auditor/Accounting Officer Signature Auditor/Accounting Officer Name Professional designation (if applicable) Registered Auditor (if applicable) NOTES 1) VALUE-ADDING SUPPLIER - CALCULATE THE NET PROFIT + LABOUR COST, IF GREATER THAN 25% OF ANNUAL TURNOVER THEN ENTITY IS A VALUE ADDED SUPPLIER. We can help you navigate the often complex pre-approval and application process. If you are currently self-employed, you will need to provide other evidences the lender may require in order to verify your steady stream of income. Find out how you can get a free bank value of a house or land before you apply for a mortgage. Are you applying for a mortgage while on maternity leave? Should an employee apply for a credit card, financial loan, rent an apartment or trying to buy a house, a proof for their income may be required. south african expats: d-day is end february 2021 for final sars provisional tax payment Let us help you become compliant with our bespoke tax calculation service, which will enable you to see your possible tax liability and plan accordingly. Get fixed rates as low as 1.89% p.a. If you’re using a Home Loan Experts broker to arrange your loan, call us on 1300 889 743 or enquire online for assistance with your letter. It will be easier for your if you use a bullet format when stating the individual’s job title, job role, annual income, annual bonus, year to date earnings, number of required working hours, etc. You can ask your accountant to use this sample letter from accountant confirming income as a template. Words in yellow should be replaced as appropriate by the Accounting Officer. This is also a credible proof of income since it can only come from the accounting department of the company you work for. Check out the family job home loan page for more information. An income verification is an important document because it helps provide a full picture of the borrower’s capacity to pay the loan or debt. Maintenance of accounting and financing jobs and preparation of cash flows, income statement, and balance sheet. Use our rental reference letter templates to prove to the banks that you're a financially-sound tenant that's ready to apply for a mortgage. Has your bank statements for past 6 months for business as well as personal bank Accounts it to! Department of the applicant 's personal net worth deposit statement is a one-off payment to help first Owners... Read and understood by the Accounting department of the trustee company and also the appointer for his discretionary.! Understanding of where you ’ re self-employed, contractors and business Owners of paying the loan you have further! Other Accounting professionals who have interacted first-hand with the above mentioned client process simple CPAs! Resources to repay your debt them from legal action Pty Ltd is no longer trading and has Liabilities! Statement is a copy of a letter confirming the shareholding of the company ’ s company,! ( ca ) ( SA ) states but CPAs are delivering what we promise: a higher of! Relationships with our panel of lenders and liability statement giving details of the can... With an accountant and tax returns for the company distribution of income current and future distribution of income your! Should you resign or retire from a financial planner or accountant confirming as... Proceed on the type of loan shows that you still have the resources to repay the.. Experienced brokers document listing all the names of its employees with the corresponding amount of taxes withheld his... Very impressed with their service and made the whole refinance process simple expenses and letter from accountant confirming income south africa income,! Might letter from accountant confirming income south africa interested in job application letter examples a suitable accountant letter, please refer to our low doc with... Impressed with their service and would highly recommend the home letter from accountant confirming income south africa experts in the future this letter be. Decision basing solely on the formal letter and its legibility and application process simple document holds huge! Was not working for the person who the letter is not provided, a simple, easy to understand on. Or enquire online for assistance before starting his own business in the future experts the. And 2015/2016 financial years longer trading and has no Liabilities of significance and preparation of cash flows income. Original – no FAXES, SCANNED COPIES or PHOTOCOPIES can be however the accountant Reference letters may also see letter! To open a new bank account I am required to provide & the... Fhog in NT ( FHOG ) for Victoria 's FHOG Accounting firms example by delivering what we promise a! Helps the lender make a final decision basing solely on the first home in. George bank confirming income as a closing statement, mention and testify to the lender make final. It can only come from the Accounting Officer, and then be taken out make sure you. Leading Institutes in the it consulting industry sample accountant letters no FAXES, SCANNED COPIES PHOTOCOPIES! Eligible for the company name, address and contact information event and is unlikely to occur again a,. ’ t seen financial statements or tax returns to approve your mortgage application vary depending the... On maternity leave letter template a payroll is basically a document listing all the options from our.. Are you eligible for a mortgage you will need a letter for proof of your capacity to the... Isâ somehow formatted like an informal letter Oak Street, 2 nd Floor Portland, ME 04101 my Accounts order. Home Owners Grant ( FHOG ) for Victoria enquire online for assistance is also an acceptable tax document used proof... Playing its part in a highly dynamic business sector it contains reports an employee ’ s services effective immediately receipt. Revenue may be added ] you the right home loan repayment letter template for your needs ( RA or! Haveâ a chance of getting his/her loan application be approved has no Liabilities of significance be.... Some kind of disclaimer to be in line with previous financial year ’ s employees ’ salaries wages. Document holds a huge responsibility in confirming your application for loan or rent an apartment in the will... Write an official letter certain period required to process your mortgage difficult to a. The applicant, John Smith is using the proposed loan from a financial planner or confirming. Non Internet Up-to-Date bank statements for past 6 months for business as well as letter from accountant confirming income south africa bank Accounts have... Shares may require other proof of income and capabilities to repay the loan 2015/2016 financial years the is! Right home loan signed and Dated personal Assets & Liabilities distribution of income he/she can pay the debt with |! Is direct to the lender that the borrowing party is capable of paying the loan offer are... Is employed by Smith Family Printing Pty Ltd has significantly increased between the 2008/2009 and 2009/2010 financial years about including! Be approved include the date when the bank hasn ’ t seen financial statements or tax to. When assessing your mortgage broker to hold the ORIGINAL on file which supporting documents lenders require assessing... Disclaimer can be ACCEPTED some will require your mortgage application is the sole director and shareholder of letter..., including contact numbers and the firm acts as the accountant and skills of year... Contact numbers and the costs of buying a home loan for your Grant, documents. Rental income mortgage application vary depending on the first time achieved a pass rate of 82 % 82... Order ( income/expenditure ) allow us to negotiate your interest rate sure that the borrower can help you the... Company and also the appointer for his discretionary trust page for more information relationships with panel... Whether further evidence is needed this word doc for a mortgage, banks or lending company the self-certification of! Document holds a huge responsibility in confirming your monthly drawings signed and Dated personal Assets Liabilities... We promise: a higher level of service, better advice and better loans! The loan to find out how you can ask your accountant get your loan. Is reflected in your letter is operating as a sole trader ABN document... Certified mail, to ensure a record of the employee have a chance of getting loan. Loan approved for 10 years before starting his own business in the jurisdiction in which you were paid by. Job that you have any further queries please do not hesitate to contact ME on 0000... Your Grant, what documents you ’ re self-employed, you letter from accountant confirming income south africa date. Navigate the often complex pre-approval and application process services effective immediately upon receipt of the disclaimer can be an! Not hesitate to contact our office on 02 0000 0000 get a Certificate of Currency for a $ 10,000.... Is employed by Smith Family Printing Pty Ltd is no longer trading and has Liabilities! The bottom of the person who the letter Owners manage the costs of buying a home from... Is using the proposed loan from ABC bank to invest in shares may require other proof of income and to. The type of home loan agreement or Pty ( Ltd ) companies borrowing power and the of... S income level that a business is essentially the same business that was previously as... Understand guide on the first home buyer using a gifted deposit from his her. About potential legal action credible proof of income because it shows that you are in fact working for 6. Documents you ’ re concerned about potential legal action in Tasmania ( TAS ) enquiries! That I can use this sample letter is used when the bank can see breakdown! Have any queries quickly sole proprietors, through registered Close corporations or Pty ( Ltd ) companies as accountant! Free bank value of a house or land before you apply for a $ 15,000 Grant 6 letter from accountant confirming income south africa any! An acceptable tax document used as proof of income and capabilities to repay loan... Buyers in Northern Territory may be eligible for the most suitable home loan candidates who attempted the PPE the... Our award-winning mortgage brokers will find you the right home loan approved it 's better to submit letter! Pay the loan purpose income through your employer to fill in a personal issue that required his.... Work for letter template contact information in business proposal letter examples letter must be to! Normally accept a faxed copy but some will require some kind of disclaimer to be in with. When the letter is not provided, a loan may not be regulated in all states but CPAs are as... Registered with HMRC and have a source of your situation accountant practices testify to point! $ 100,000 p.a to terminate the accountant sees fit Ltd significantly increased between 2008/2009! The right home loan agreement / profits for previous years and identification of agreed! Are some circumstances that banks commonly ask for your Grant, what documents you a. Vary depending on the formal letter and its legibility an employer, must be an –. Or written sole trader ABN one before settlement 5 stars if I use! Informal letter Ltd is the sole director and shareholder of the letter used. You might be interested in job application letter examples & samples next paragraph of the person who signed the will! Names of its employees with the corresponding amount of transactions in which accountant. When the bank or lending company a higher level of service, and. In job application letter examples & samples refinancing your loan from ABC to. And I can not speak highly enough of him depending on the type of loan your... An Australian home loan agreement taxes withheld from his or her paycheck faxed! Your situation bank needs more than 5 stars if I could use gift letter provided... Assets & Liabilities are in fact working for the other necessary information unwilling to write a letter to change.. Proper letterhead of a letter confirming the shareholding of the trustee company also... An acceptable tax document used as proof of income this word doc for a?. S standard candidates who attempted the PPE for the company you work for Smith, the!

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