Due to the Easter weekend falling between 29 March and 1 April 2013, taxpayers are reminded that all returns and payments due in March 2013 must be received by SARS by no later than 28 March 2013. Any returns and payments due and payable by 31 March 2013 must be paid by no later than the last business day before the Saturday, Sunday or public holidays as described in the relevant Acts.
Category: Income Tax
Youth Tax Will Work – Motlanthe
Youth tax will work: Motlanthe Sapa News Employers would get money back through the Pay As You Earn system for hiring unemployed young people. Government is confident the controversial youth wage subsidy, now called the youth wage incentive scheme (Yeti), will work, Deputy President Kgalema Motlanthe said on Wednesday. Replying to questions in the National Assembly, Motlanthe dismissed a notion by DA MP Tim Harris that the Yeti was similar to its namesake, the Himalayan mythical creature, also known as the abominable snowman.
What are the steps in calculating the income tax owed?
What are the steps in calculating the income tax owed? The Income Tax Act No. 58 of 1962 sets out a series of steps to be followed in calculating a taxpayer’s “taxable income”. This then forms the foundation on which tax liability is calculated. These steps are briefly set out below and are tackled in greater detail in the explanations that follow. 1. Determine gross income
Budget 2013 – Share Schemes
By Andrew Lewis (DLA Cliffe Dekker Hofmeyr) Executive summary Share incentive schemes were again mentioned in this year’s tax budget proposals. It thus appears that the broad-based employee share plan contemplated in s8B of the Income Tax Act will be reviewed and possibly merged with s8C of the Income Tax Act into a single employee share scheme regime.
The tax saving opportunities of e-toll
Issued by Philip Rosenberg, TaxTalk The introduction of an e-tolling system on roads in certain Gauteng areas were strongly opposed by the parties affected. Not only are consumers faced with a persistent increase in the petrol price, but they are now also exposed to additional traveling expenses each time they pass an e-toll gantry. This situation can be financially overwhelming for some people but fortunately there may be a light at the end of the tunnel for taxpayers.
South Africa Mulls Coal Export Duty
by Lorys Charalambous, Tax-News.com, Cyprus At the 2013 SA Coal Exports Conference, South Africa’s Minister of Mineral Resources Susan Shabangu confirmed that no decision had yet been taken by the government on whether or not to apply a duty on coal exports.
SARS and your bank account
On 29 February 2012, the South African Revenue Service (SARS) issued a notice in Government Gazette No 35090 (Notice No 173) relating to the liability of certain institutions, most notably banks, to furnish SARS with financial information about taxpayers. The notice was issued in terms of s69 of the Income Tax Act, No 58 of 1962, which section has been superseded by s26 of the Tax Administration Act, No 28 of 2011 (TAA).
South Africa's New Tax Administration Act Is In Force
by Lorys Charalambous, Tax-News.com, Cyprus 04 October 2012 The South African Revenue Service (SARS) has announced that the Tax Administration Act (TAA), which is intended to simplify and provide greater coherence in South African tax administration law, and was promulgated on July 4, 2012, largely came into effect on October 1, 2012.
South African tax case considers application of capital gains treaty exemption to deemed disposition
A recent decision of the Supreme Court of Appeal of South Africa considered the application of the capital gains article in a double tax convention based on the OECD model to a deemed disposition of property occurring as a result of an “exit tax” imposed on an emigrating corporation. As the Court’s decision concerns capital gains exemption language that is similar to that used in most double tax treaties based on the OECD Model, it provides a helpful glimpse into how such provisions may be interpreted in other jurisdictions, including Canada.
The impact of statutory mergers on current tax legislation (part 2)
by Robert Gad and Janel Strauss We have previously written on the mismatch between the statutory merger provisions in section 113-116 of the new Companies Act 71 of 2008 (“Companies Act”) and the current tax legislation. In part 1 of this article we considered the interplay between statutory merger provisions and the tax rollover relief provisions contained in sections 41 to 47 of the Income Tax Act 58 of 1962 (“ITA”) and explained how a statutory merger transaction may not necessarily qualify for the tax rollover relief. We also considered the implications that the transfer of administrative tax obligations from a target company or companies (“TargetCo”) to the acquiring company or companies (“AcquireCo”) may have on parties entering into an “amalgamation or merger,” as this term is defined in the Companies Act.