The Tax Administration Act No. 28 of 2011 (the TAA) which came into effect on 1 October 2012 (bar a few specific sections) introduced two types of penalties, namely administrative non-compliance penalties and understatement penalties.
Author: Nyasha Musviba
Can SARS customs enter premises without a warrant?
The Customs and Excise Act No. 91 of 1964 (the Act) requires registration and licencing of persons and/or premises for conducting certain activities in terms the Act.
Piercing the corporate veil
The recognition of a company as a separate juristic person, liable for its own tax (or other) debts, is an important principle relied on by taxpayers when implementing various transactions.
Primary Residence Exclusion
Is it true that globally mobile employees can sell their homes and not pay capital gains tax even if they rented it out for a number of years? It is true in most cases. The general rule is that when you sell your home, the capital gain realised on the sale is excluded from capital gains tax up to a limit. Based on the Income Tax Act No. 58 of 1962 (the Act), you will pay no capital gains tax on the first R2,000,000 you make when you sell your home. There are, however, some restrictions on this exclusion.
A Business Rescue – Successful Except on the Tax Front
The business rescue provisions of the new Companies Act 71 of 2008 have generated much discussion in commercial and legal circles. However, the fiscal aspects of a business rescue plan have seldom been debated.
High Court Rejects Challenge of Exchange Control Ruling
Billionaire entrepreneur Mark Shuttleworth emigrated from the Republic in February 2001. Following his emigration, he made applications to transfer portions of his blocked funds from the Republic. In the second of these (in 2008) he was permitted to remit funds subject to a levy equal 10% of the amount remitted.
Tax Flash – July
The most significant tax event during the month of July was the publication of the 2013 taxation bills, the Draft Taxation Laws Amendment Bill (‘TLAB’) and the Draft Tax Administration Laws Amendment Bill (‘TALAB’).
Status Overviews of International Treaties and Agreements Updated
Author: SARS Legal and Policy On the 7th of August 2013 SARS released updated overviews of various international treaties and agreements. To view the update on “Double taxation agreements & protocols” click here: To view the update on “Customs MAA’s” click here: To view the update on “Exchange of Information Programs” click here: To view the update on “One-Stop-Border-Post Agreements” click here:
Carbon tax could hit economy – Sacci
‘Measures should be revenue neutral’ The proposed introduction of carbon tax could have a severe impact on the economy and job creation in South Africa, Sacci said on Monday. “[We are] supportive of measures to reduce carbon emissions in principle, so long as those measures remain tax neutral,” SA Chamber of Commerce and Industry (Sacci) CEO Neren Rau said in a statement.
Group tax: A simple solution?
Ingé Lamprecht New bill introduces complications. JOHANNESBURG – The benefits of a group taxation system should be investigated. Zweli Mabhoza, head of taxation services at SizweNtsalubaGobodo, says one of the reasons why group taxation – where legal entities within a group of companies are treated as one taxpayer – has been opposed in the past, is because South Africa does not have sufficient skills to support the introduction of such a complicated tax system.