On 5th April 2013, the Commissioner: South African Revenue Service issued Government Notice number 260, which appeared in Government Gazette number 36346 on 5th April 2013, setting out returns of information which must be submitted by third parties in terms of section 26 of the Tax Administration Act, No 28 of 2011.
Tag: SARS
South Africa’s tax treaty with the DRC provides a new avenue for international investment
The tax treaty entered into between the Democratic Republic of Congo (DRC) and South Africa provides opportunity to promote South Africa as a hub for inward investment into the DRC. The tax treaty provides multinational companies with alternative investment opportunities in the DRC.
Expert gives assurance on SA, Mauritius tax deal
THE renegotiated double-taxation agreement between South Africa and Mauritius should not be a concern to any group that has structured its affairs properly, says Werksman tax head Ernest Mazansky. His comments come as South Africa has renegotiated its double-taxation agreement with Mauritius following earlier concerns by the South African Revenue Service (SARS) and the Treasury that South African multinationals were abusing the current treaty, negotiated in 1996.
The Design of the Carbon Tax
On 27 February 2013 the Minister of Finance announced that a carbon tax will be introduced with effect from 1 January 2015. He also announced that a carbon tax policy paper would be published that will contain the details for the carbon tax. That policy paper was published on 2 May 2013. This article contains the key design features of the carbon tax as set out in the policy paper.
Sale of shares in a foreign company
South African residents are taxed on their worldwide income. Accordingly, a capital gain arising from the sale of shares in a foreign company will be subject to South African tax unless an exemption applies or a double tax agreement provides otherwise.
Discretionary dividends received by a company
A “last minute” amendment in the Taxation Laws Amendment Act No. 22 of 2012, relating to the income tax treatment of dividends received by a company in certain circumstances, may have far-reaching tax implications for companies and therefore need to be taken into account for all dividends received or accrued on or after 25 October 2012.
Tax Ombud: Another toothless entity?
By Ingé Lamprecht Questions abound on its independence, limited powers. JOHANNESBURG – The tax industry has been lobbying for an ombud system as a cost-effective remedy for taxpayers for some time. The Tax Ombud, it was envisaged, could offer a remedy for taxpayers to use in instances of failures in service delivery and enforcement of rights with regards to tax administration, without the need to escalate to court at great cost and time delay.
South Africa, Mauritius DTA Revisions Could Catch Out Multinationals
by Lorys Charalambous, Tax-News.com, Cyprus According to Johan Hatting, PricewaterhouseCoopers’ senior international tax manager, the revised double taxation agreement (DTA) between South Africa and Mauritius, which was signed on May 17 this year and should, from January 1, 2015, replace the original treaty signed in July 1996, could prove problematic for South African multinationals.
New tax form required for claiming relief for foreign taxes imposed or withheld on SA residents, says Deloitte
Issued by: Magna Carta (PR) Taxpayers claiming relief for foreign taxes improperly imposed or withheld should take note that they are now required to complete a new declaration form that must be completed before relief can be claimed, says Deloitte. “The form (‘FTW 01’) is applicable to South African residents seeking relief for improperly imposed or withheld foreign taxes in terms of Section 6quin of the Income Tax Act, which was introduced with the Tax Laws Amendment Bill of 2011,” says Louise Vosloo, Director in International Tax at Deloitte.
SA, Mauritius sign new tax treaty
South Africa has signed a new tax treaty with Mauritius, accounting firm PriceWaterhouse Cooper (PwC) said The abuse of the old, 1996 treaty was the main reason for the new treaty, said PwC international tax senior manager Johan Hatting (SUBS: CORR). Some had feared the SA Revenue Service and the National Treasury would simply terminate the treaty because it was being abused by South African multinationals, he said.