The Draft Employment Tax Incentive Bill, 2013 (“DETIB”) was published by National Treasury during September 2013 and gives effect to the proposals to subsidise the cost of hiring younger workers as first announced by Government in 2010. According to the Media Statement, this new incentive is aimed at encouraging employers to hire young and less experienced work seekers,
Tag: Tax Adminstration Act
EXPLANATORY MEMORANDUM ON DRAFT EMPLOYMENT TAX INCENTIVE BILL, 2013
The Draft Employment Tax Incentive Bill gives effect to the announcement by the President in his 2010 State of the Nation Address, and the 2010 Budget, that government will table proposals to subsidise the cost of hiring younger workers. The draft bill also gives effect to the 2013 Budget.
Gordhan: Govt will meet budget deficit
Cape Town – The governement will meet its budget deficit target for 2013/14, it was surprisingly announced in the mini budget on Wednesday.Although it was widely expected that the budget deficit of 4.2% of GDP would have to be lifted by Finance Minister Pravin Gordhan in the mini budget because of weaker economic growth, it will remain the same after including extraordinary receipts of R11.4bn and extraordinary payments of R0.2bn.When extraordinary transactions are excluded, the deficit climbs to 4.5%.According to the mini budget, the fiscal framework for the three-year spending period ahead strikes a balance between consolidation and support for the economy.The target of reducing the budget deficit to 3.0% of GDP in 2016/17 will therefore remain.Spending will remain within the non-interest expenditure ceiling established in the February budget. It states further that SA has several strengths that limit the vulnerability of its fiscal position and allow Read More …
Budget too good to be true – opposition parties
Cape Town – Mixed reaction greeted the country’s mini budget framework, with opposition parties saying they were discouraged and the ruling party expressing satisfaction. The MPs spoke to reporters on the steps of the National Assembly on Wednesday afternoon, shortly after Finance Minister Pravin Gordhan tabled the mini budget. Democratic Alliance MP Tim Harris said the speech was full of reassuring rhetoric, but not nearly bold enough in tackling serious economic problems. “He speaks a lot about backing the NDP [National Development Plan], but then doesn’t table any of the practical measures that the NDP talks about, like active labour market policies, labour reform and removing trade barriers,” Harris said. “Without that action, I don’t think we’re going to make progress on stimulating growth, and currently we are growing at about two percent and this is half the rate of Turkey, Chile and Malaysia.”
Tax Admistration Act – Jurisdiction of the courts
When litigating against SARS, it is of critical importance that the taxpayer institute proceedings in the proper forum. In this regard, an important question arises as to which issues are justiciable in the Tax Court and which in the High Court. A wrong decision by the taxpayer and his advisers may have the consequence that time limits to bring proceedings in the correct court have expired, and that the taxpayer is left without a remedy.
Tax Adminstration Act No 28 of 2011 – Tax Litigation
Tax litigators will now have to consider, inter alia, the impact of certain provisions under the Tax Administration Act No. 28 of 2011 (the TAA) as amended by the Tax Administration Laws Amendment Act No. 21 of 2012 on the doctrine of legal professional privilege and a recent judgment reflecting the view of a court with regards to the adherence to the rules of the Tax Court by the South African Revenue Service (SARS).
International Tax – Mutual Assistance between South Africa and UK DTA
In the recent case of Ben Nevis (Holdings) Limited & Metlika Trading Limited v The Commissioners for HMRC (Her Majesty’s Revenue and Customs) [2013] EWCA, the Court of Appeal of England and Wales considered the interpretation of the mutual assistance provisions in the double tax agreement (DTA) between the United Kingdom (UK) and South Africa (SA).
Applications For Winding Up Pending Objection Or Appeal
Author: Heinrich Louw (CliffeDekkerHofmeyr) An interesting judgment was handed down in the North Gauteng High Court on 3 October 2013 in the matter of Commissioner for the South African Revenue Service v Miles Plant Hire (Pty) Ltd (case no 23533/2013). Miles Plant Hire (Pty) Ltd (taxpayer) was involved in a dispute with the South African Revenue Service (SARS) in terms of which an appeal was pending.
A Departure From ‘Adequate Reasons’ and Common Sense
Author: Daniel Areias & Johan Kotze (Bowman Gilfillan) All taxation , in one way or another, may impact upon fundamental human rights. However, to ensure that the imposition is not absolute, section 5 of the Promotion of Administrative Justice Act provides that every person, whose rights may have been materially and adversely affected by administrative action, may request written reasons for that action from the administrator responsible.
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.