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CIDB GRADE 6

HomeCIDB GRADE 6

CIDB GRADE 6 APPLICATION REQUIREMENTS – WORKS CAPABILITY

In order to qualify for the cidb grade 6, companies need to have completed at least one single large construction project between the values of R 3, 000, 001 and R 9, 000, 000 within the past five years.

Construction projects completed more than 5 years are not accepted as at the date of application. Therefore, if you are going to apply for a cidb grade 6, all your project paper work should at least fall within a period of 5 years. I shall be discussing the CIDB grade 6 application requirements in more details in the paragraphs that follow.

WORKS CAPABILITY

In order to qualify for the cidb grade 6, companies need to have completed at least one single large construction project between the values of R 3, 000, 001 and R 9, 000, 000 within the past five years.

Construction projects completed more than 5 years are not accepted as at the date of application. Therefore, if you are going to apply for a grade 6, all your project paper work should at least fall within a period of 5 years. I shall be discussing the CIDB grade 6 application requirements in more details in the paragraphs that follow.

Uploading documents from blue folder. 3d illustration.

TAX CLEARANCE CERTIFICATE

It seems pretty obvious that a tax clearance certificate should be the easiest part about complying with when submitting a CIDB grade 5 Application however, from the look of things, it appears that there is more to be considered when submitting a tax clearance. In the previous years, tax clearance certificates were valid for a period of 12 months as at date of printing, however, as from late 2019, it appears that the tax clearance certificate is only valid as at the date of confirmation.

What does this mean for the Cidb grade 6?

It means that when you submit your tax clearance, you must remain compliant throughout the period of submission.

Since you can’t predict the date when the CIDB will be conducting checks on your taxes with the South African Revenue Service, it is advisable to remain compliant throughout the entire duration of the application, which is 21 working days. This is especially true for clients who have companies that submit monthly payroll taxes. Should you miss a monthly payroll tax return during the time of application, tax affairs that were compliant a couple of days ago, might no longer be. Therefore, it is wise that you keep your tax affairs during and after the application phase. Non compliance with the South African Revenue Service shall invalidate your CIDB status.

COMPLIANCE WITH THE CIPC

The CIDB requires applicants to be compliant with the CIPC. Being compliant requires the filling of annual returns on the commissioner’s website. To determine if your company is compliant, you should print out the latest company’s registration documents from the Commissioners website to determine your enterprise status.

Enterprises indicated by “In Business” mean that those companies are compliant whereas those indicated by “In deregistration process” simply mean that they need to file and pay their annual returns immediately.

SHAREHOLDERS CERTIFICATES

If your company is a close corporation, there is no need to look for a shareholders certificate, however, if the company’s designation ends with a (PTY) Ltd or (Inc), then a shareholders certificate shall be needed. The shareholders certificate must be done by a competent professional otherwise; it can also turn into reason for a non upgrade. The stamp date on the oaths of commissioner must be within 3 months as at the date of submission.

CONCLUSION
All in all, a CIDB grade 6 Upgrade is possible and will qualify you for government construction tenders between the values of R6.5 million to R13 Million and will require you to have carried out at least one single large contract between the values of R3 Million to R9 Million.

In addition to this, the company needs to have generated best revenue between the values of R6.5 Million to R20 Million and at least to have maintained a net asset value in the range of R1.3 Million to R4 Million. If you need professional assistance, Please fill in the online application form for assistance with your grade 6 upgrade.

OTHER DOCUMENTATION

All other documents as mentioned on the application form (Grades 2 to 9) must be certified by a commissioner of oaths. The stamp date must also fall within the 3 months period.

APPLICATION FORM

The application form must be filled in properly and submitted to the CIDB in person. For grade 4, there is no online application. It means you must physically go and hand in the documents at the CIDB offices.

 

DURATION

The maximum waiting period, provided that all your application documents were in order, is +-21 working days.

FEES

A CIDB grade 6 application will set you back R750 in administration fees plus R3, 500 in annual fees. Therefore in total, prepare to pay a total R4, 250 for a grade 6 CIDB application.