Author: Pieter van der Zwan (The University of North-West Many South African companies are involved in transactions in which previously disadvantaged persons acquire ownership interests in such companies for purposes of complying with broad-based black economic empowerment (BBBEE) requirements applicable in the particular industries in which the entity operates or to enhance the BBBEE status of the entity in order to facilitate further growth.
Author: Nyasha Musviba
Time for South Africa to Enter the Borderless Tax Arena
Author: Nazrien Kader (Deloitte) The Income Tax Act in South Africa, which has been amended on an ad hoc basis over the years, dates back to 1962. With the dramatic evolution of the business environment since then, the country’s tax laws certainly need to be examined and assessed in a coherent manner as well as to ensure that they are relevant to the modern era.
Carbon tax: Be proactive
What businesses should consider. JOHANNESBURG – Although there is still a lot of uncertainty surrounding the introduction of a local carbon tax, businesses already have to take steps to try and mitigate its impact. According to a second policy paper published earlier this year, National Treasury is proposing that a carbon tax be levied on emissions from January 1, 2015 onwards.
New Rule On Non-acceptance Of Cheques For Amounts In Excess Of R100 000 – Customs And Excise
Author: SARS Legal and Policy SARS published Notice No. R.745 in Government Gazette No. 36905 on Friday the 11th of October 2013. This notice inserts the following heading and rule after rule 120.11 published in Government Notice R.1874 of 8 December 1995:
Reform R&D Tax Systems To Boost Innovation And Help Young Firms, Says OECD
Author: OECD Most OECD governments use tax incentives to encourage businesses to invest in research and development (R&D) to boost innovation and drive economic growth. Others, like China, India and South Africa, are doing the same. But reforming these incentives would give countries a better return on their investment and support young innovative firms that play a crucial role in job creation, according to a new OECD report.
5 Top Tips to Understanding the Work of the Tax Ombud
Judge Bernard Ngoepe inaugurated as South Africa’s first Tax Ombudsman. Stiaan Klue, Chief Executive of the SA Institute of Tax Practitioners (SAIT), takes a closer look at this vital position and explains how the Ombud’s office can assist the general tax payer in resolving their disputes with Sars. Why a Tax Ombud? The Tax Ombud serves to protect tax payer’s rights and operates as a counter balance to the far reaching powers which the 2012 Tax Administration Act entrusted to Sars.
Website Under Scheduled maintenance
Website under maintenance – It will be available on 22 October 2013 after 12noon.
The negative impact of e-commerce VAT on education
Educational institutions making exempt supplies will likely be negatively impacted with the impending introduction of VAT on e-commerce transactions in South Africa with effect from 1 April 2014. One could even go as far to say that educational institutions had it good under the reverse charge mechanism (also referred to as VAT on ‘imported services’) as there was arguably no VAT leakage when dealing with foreign suppliers of certain e-c ommerce services.
Binding class ruling on dividends distributed by a foreign company
On July 24 2013 The South African Revenue Service (SARS) issued Binding Class Ruling 41 regarding the question of whether a dividend distributed by a foreign company constitutes a ‘foreign dividend’ as defined in Section 1 of the Income Tax Act (58/1962). The applicant was a foreign corporate partnership limited by shares. Its structure was essentially a hybrid between a partnership and a limited liability company, which is
Taxation of Foreign Dividends
Author: Tarryn Spearman(Grant Thornton) Significant changes were introduced to the way foreign dividends, received by South African residents, are treated for tax purposes. The purpose of these changes is to eliminate the disparity between the tax treatment of domestic and foreign dividends.