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.
Tag: VAT
Wider powers for Sars a wake-up call
Sars has gazetted far-reaching new regulations that will give it access to a greater range of third-party information it can use to cross-check returns submitted by taxpayers.”These new regulations will greatly enhance Sars’ ability to verify the accuracy of information submitted by taxpayers,” says Ettiene Retief, chairperson of the National Tax and Sars Stakeholders Committees at the South African Institute of Professional Accountants (Saipa). “It’s a clear indication that Sars is getting more serious about collecting the tax monies due to it.”
Double taxation a headache for SA corporates
By Ingé Lamprecht African countries are turning to tax collection. JOHANNESBURG – After a number of years where some African countries have generally focused on attracting investment, developing infrastructure and creating jobs, a number of countries are now turning their attention to tax collection in an effort to supplement their state coffers.
VAT TREATMENT OF DEMONSTRATION MOTOR VEHICLES
When a car dealership acquires a motor vehicle purely for the purposes of demonstration use, the question that arises is whether it constitutes a taxable supply for purposes of Value-Added Tax (VAT).
Tax could jettison attempts at business rescue
Business rescue will not be a viable option for companies in distress, until amendments are made to the Income Tax Act and VAT requirements. Any benefit that financially distressed companies could potentially derive from business rescue might be nullified by the tax implications of certain common business rescue processes. “In fact, unless amendments are made to the Income Tax Act and VAT requirements, successful business rescue will often not be possible,” says Dawid van der Berg of tax, auditing and business advisory company BDO.
VAT submission due date via e-filing
SARS is not requiring VAT vendors who use eFiling to submit VAT returns on the 25th of the month. The benefit of no interest, penalties, or prosecution will remain effective if the return and payment are submitted via eFiling (or EFT) on or before the last business day of the month.
VAT on forfeited deposits revisited
By Gerhard Badenhorst (ENS Tax Ensight) Executive summaryFor VAT to be levied there must be a supply of goods or services. This article examines the VAT consequences of taking deposits and deposits forfeited by looking at judgments by the ECJ and Australian courts.
VAT registration of foreign businesses
The tax issues associated with e commerce on the Internet remains largely unresolved. Enforcement of tax compliance is generally reliant or can be pin-pointed to geographical areas however in cyber space or the Internet world these geographical boundaries do not exist. The underlying question is whether existing direct and indirect principles can be successfully implemented in imposing and enforcing the taxation of e commerce. E commerce changes things of fundamental importance from a direct and indirect tax