September 27, 2019

Save for your golden years

Saving for retirement can prove to be a very complex task, however, this does not have to be the case. Many people are not making the […]
September 27, 2019

Share incentives – The finer details

Companies, particularly listed companies, offer employees so-called share options (also referred to as share incentive schemes or employee share ownership plans (ESOPs)) as a form of […]
September 27, 2019

The different VAT supplies

There are a few instances where VAT is not charged at the standard rate of 15%. In the following article, we distinguished between the different supplies […]
September 27, 2019

The new generation’s cash

1.1 Background to Bitcoin Bitcoin, Ether and Litecoin. These are some of the most prominent cryptocurrencies on the market today. Bitcoin is by far the best-known […]
September 3, 2019

Perskom Moorreesburg

Perskom Moorreesburg het besluit om vir ons sosiale funksie vanjaar ‘n “Around the World” safari ete te hou. Ons het 4 kollegas gevra om hulle huise […]
August 27, 2019

Requesting Income Tax numbers from job seekers

Dear Employer It has come to our attention that job seekers are being asked for their Income Tax Reference Numbers in order to be considered for […]
August 27, 2019

Section 18A Audit Certificates – Part I

The South African Revenue Service (“SARS”) issued Interpretation Note 112 on 21 June 2019 to provide guidance on the interpretation and application of the audit certificate […]
August 27, 2019

SARS dispute: What are the reasons?

Generally, disputes with the South African Revenue Service (SARS) are the result of an assessment which has been issued by SARS to a taxpayer. An assessment […]
August 27, 2019

Emotional Intelligence in the workplace

The term “emotional intelligence” was coined in 1990 by scholars, however, business leaders soon adopted this concept and term and made it their own. Emotional intelligence […]
August 1, 2019

Your payroll administration questions answered

As payroll administrators ourselves, we encounter a few frequently asked questions that employers, business owners or those responsible for payroll administration within organisations struggle with.  Below […]
August 1, 2019

Alles wat jy moet weet oor skenkingsbelasting

Is jou kennis genoegsaam oor skenkingsbelasting? Dink jy dalk daaraan om ń familielid finansieel by te staan, of om ń kind te help met ń deposito […]
August 1, 2019

The 2019 Tax Season is here

The 2019 tax season officially started on 1 July 2019. Different filing periods apply, depending on the way a taxpayer chooses to submit their return: Taxpayers […]
August 1, 2019

Watse belasting voordele hou spaarfondse vir belastingbetalers in?

Die drie spaarfondse wat voordeel inhou vir ‘n individu met aftrede, is ‘n pensioenfonds, uittree-annuïteitsfonds, en ‘n voorsorgfonds. Vanaf 1 Maart 2016 geld die volgende: Bydraes […]
July 10, 2019

Tax season 2019: Improvements made to eFiling

SARS recently released two media statements, in which it notes several improvements made to eFiling for the 2019 tax season, including the issue of customised notices […]
July 10, 2019

Capital gain: Calculating your foreign currency

With the fast approaching 2019 tax season, taxpayers who have realised a capital gain in a foreign currency should take note of the special rules that […]
July 10, 2019

Tax neutral transfers between retirement funds

The 2019 tax legislation amendment cycle commenced on 25 June, when National Treasury issued the initial batch of the Draft Taxation Laws Amendment Bill which covers […]
July 9, 2019

2019 Tax legislative amendment

The 2019 tax legislation amendment cycle commenced on 25 June, when National Treasury issued the initial batch of the Draft Taxation Laws Amendment Bill which covers […]
May 21, 2019

IFRS vs IFRS for SMEs

The majority of financial statements in South Africa are arguably compiled by implementing the International Financial Reporting Standards for Small and Medium-sized Entities (IFRS for SMEs) […]
May 21, 2019

South African Reserve Bank procedures

The South African Reserve Bank (“SARB”) is the central bank of the Republic of South Africa and the primary purpose is to achieve and maintain price […]
May 21, 2019

Rendering of transport services by employers – more observations

Employers may provide employees with a transport service from their homes to the place of their employment. Such transport services constitute a taxable benefit in the […]
May 21, 2019

Rendering of transport services by employers

Paragraph 2(e) of the Seventh Schedule to the Income Tax Act[1] deems an employer to grant a taxable benefit to an employee if any service has, […]
May 3, 2019

Value-added remarks on value-added tax (VAT)

VAT is an integral part of our economic society and is something that influences everyone, especially businesses in South Africa.  In this article, we will discuss […]
May 3, 2019

EMP501-rekonsiliasies

Die aanvangsdatum van die 2019-seisoen vir indiening van die jaarlikse EMP501-rekonsiliasies is deur die Suid-Afrikaanse Inkomstediens (SAID) uitgestel vanaf 1 April na 17 April 2019. Die […]
May 3, 2019

The audit process

To get a better understanding of the audit process, we can take a look at the definition of an audit. Audit – “an official inspection of […]
May 3, 2019

VAT regulations dealing with the supply of electronic services

VAT Regulations dealing with the supply of electronic services Since 2015, foreign suppliers of electronic services (such as audio-visual content, e-books etc.) in South Africa are […]
April 23, 2019

Depreciation vs wear & tear

Deterioration, obsolescence and wear and tear are among the reasons why assets decrease in value. By realising a deduction on depreciation for tax purposes, your company […]
April 23, 2019

Jou lewende hawe voer Jan Taks

Die gesegde lui, daar is net twee dinge in die lewe wat seker is: die dood en belasting. Die twee loop dikwels hand-aan-hand en beide is […]
April 23, 2019

Taxpayers’ right to have disputes resolved

In a recent Tax Court decision[1], the Tax Court confirmed that taxpayers have a right to have their disputes resolved in a court of law as […]
April 23, 2019

SARS scams

Education and awareness around identity theft, phishing and other frauds have become part of life globally. If nothing else, scamsters are innovative and keep trying new […]
March 19, 2019

New filing requirements for insolvent taxpayers

The South African Revenue Service (“SARS”) has recently set out new procedures relating to the process around the filing of income tax returns relating to insolvency. […]
March 19, 2019

Budget proposals 2019

Finance Minister Tito Mboweni delivered his maiden National Budget address on 20 February 2019, with the focus for the coming fiscal year on strengthening tax administration […]
March 19, 2019

Thinking of selling an asset?

What happens when you sell an asset? When you sell or dispose of an asset, you either realise a profit or a loss from the exchange. […]
March 19, 2019

The timing of business financing

Sufficient cash flows to enable a business to function at optimal levels during a financial cycle is paramount. Whether you have a seasonal business, are anticipating […]
January 31, 2019

Admin penalties for outstanding Corporate Income Tax returns

In general, all registered companies must submit Corporate Income Tax (“CIT”) returns within 12 months of the end of the company’s financial year-end. This is applicable […]
January 31, 2019

Ring-fencing of assessed losses of certain trades – Part 2

Section 20A of the Income Tax Act[1]ring-fences losses incurred by natural persons from certain trades under specific circumstances. If applicable, the natural person will not be […]
January 31, 2019

Non-resident sellers of immovable property

Section 35A of the Income Tax Act[1] came into effect on 1 September 2007 and sets out the capital gains tax consequences of the sale of […]
January 31, 2019

Form requirements for objections

Dispute resolution with the South African Revenue Service (SARS) generally has a two-pronged approach. Firstly, taxpayers must present their case on the merits – this will […]
January 15, 2019

Wenke om geregistreerde besonderhede op datum te hou

Voordat u jaarlikse opgawe voltooi word, is dit belangrik om seker te maak dat kontak-, adres-, bank- en openbare offisiersbesonderhede van die entiteit (hetsy vir ’n […]
January 15, 2019

Helpful tax resources

South African taxes are inherently complex and often involve interpretation, consulting and in exceptional cases, a fair amount of educated guessing on exactly what the legislature […]
January 15, 2019

2018: A year in tax

As 2018 has come to an end, we reflect on some of the significant highlights (and lowlights) of the 2018 tax year. Davis Tax Committee concludes […]
January 15, 2019

Ring-fencing of assessed losses of certain trades – part 1

Persons are generally allowed to set off any losses incurred in respect of one trade against the income derived from another trade, thereby reducing their overall […]
November 16, 2018

Wenke om geregistreerde besonderhede op datum te hou

Voordat u jaarlikse opgawe voltooi word, is dit belangrik om seker te maak dat kontak-, adres-, bank- en openbare offisiersbesonderhede van die entiteit (hetsy vir ’n […]
November 16, 2018

SARS interest on provisional tax

As with various other business transactions, taxes in their various forms also attract interest, either payable by the taxpayer to SARS, or due to the taxpayer […]
November 16, 2018

S129 notice to the consumer and “delivery”

There are many reasons why a consumer may default in his payments to a credit provider. Notwithstanding these reasons, the credit provider must follow certain procedures […]
November 16, 2018

Additional changes to income tax returns for trusts

The South African Revenue Service (“SARS”) implemented several changes to the income tax returns for trusts (the ITR12T) on 17 September 2018. These changes are in […]
October 11, 2018

When to make use of the Small Claims Court

The Small Claims Court provides a prompt and inexpensive way to resolve minor disputes. It is meant for the ordinary man and woman on the street […]
October 11, 2018

Valuation of preference shares

In income tax, the question of valuation of shares often causes a great deal of uncertainty, especially where shares are not traded on a recognised exchange. […]
October 11, 2018

Registration of a trust as a taxpayer

The frustration experienced by taxpayers and the complexity of registering a trust as a taxpayer with the South African Revenue Service (SARS), has been widely publicised […]
October 11, 2018

Changes to bad debt allowance

Most South African businesses are at some point in time exposed to credit risk in the form of bad debts. Although taxpayers would undoubtedly prefer to […]
September 19, 2018

Validity of voetstoots clauses under the Consumer Protection Act

Consumers often opt to purchase second-hand goods in order to save money or because of the mere fact that they stumbled upon a bargain. Second-hand goods, […]
September 19, 2018

Bad debts and VAT

While there is currently a focus on the income tax considerations of bad and doubtful debts (given that National Treasury has proposed changes to section 11(j) […]
September 19, 2018

When should financial statements be audited, reviewed or compiled?

The Companies Act of South Africa (the Act) requires all companies to prepare financial statements within 6 months after the end of its financial year. A […]
September 19, 2018

Mandatory Rotation of Auditors

Over the past few years the audit industry has been under significant scrutiny where the independence of auditors has been questioned. In response to this and […]
August 17, 2018

SARS verifications, audits – when, why and what to do

Being selected for an audit and being selected for verification are two different processes. Verification: Once you have submitted your return, it could be selected for verification. A […]
August 17, 2018

When can business expenses be deducted for an individual if additional income is earned over salary?

Tax legislation allows a taxpayer to claim certain expenses which were incurred during a year of assessment against the income received. Nevertheless, the nature of expenses […]
August 17, 2018

SARS’ Service Charter

On 1 July 2018, the South African Revenue Service (‘SARS’) released a new version of its Service Charter. The release of the Service Charter has been […]
August 17, 2018

Employees’ tax (part ii): are you a labour broker for tax purposes?

The deduction of employees’ tax is dependent upon three elements being present. These elements are all defined in the Fourth Schedule to the Income Tax Act[1] […]
July 18, 2018

Deductibility of interest for non-trading individuals

SARS Practice Note 31.2 (PN31.2) provides for a person to be able to deduct interest paid, even where that person is not a moneylender or doesn’t […]
July 18, 2018

Employees’ tax (part 1): Personal service providers

For there to be an obligation for PAYE to be withheld is typically dependent on three elements being present. These elements are all defined in the […]
July 18, 2018

Tax allowances against assets used for purposes of trade

The Income Tax Act[1] allows for various income tax allowances to be claimed in respect of moveable assets used for purposes of a taxpayer’s trade. Most […]
July 18, 2018

Under what circumstances can a private company and/or close corporation be deregistered?

During the registration of a company or close corporation that entity acquires a legal personality. This legal personality comes to an end when the directors and/or […]
June 5, 2018

Tax deductions against salary earnings

Our clients who earn only a salary will know that very few tax deductions are available against salary income for income tax purposes and whereby they […]
June 5, 2018

What should you consider when investing in a business

You have worked hard for many years, and have finally saved enough funds and mustered the courage to take the big leap that you have been […]
June 5, 2018

Korporatiewe Beheer – Naamsveranderinge

Dit staan ʼn maatskappy of beslote korporasie vry om sy naam te verander indien verkies. Vir maatskappye sal die naamsverandering ʼn spesiale besluit tot gevolg hê […]
June 5, 2018

Omheining van verliese (artikel 20A) vir natuurlike persone

Artikel 20A het met ingang van 1 Maart 2004 in werking getree. Hierdie artikel handel oor die omheiningsbepalings wat verhoed dat natuurlike persone hul belasbare inkomste […]
May 17, 2018

IMPORTANT NOTIFICATION: Employer Annual Reconciliation Due

When should it be paid? The Employer Annual Reconciliation starts on 1 April 2018 and employers have until 31 May 2018 to submit their Annual Reconciliation Declarations […]
May 9, 2018

Belastingskuld en afbetalingsooreenkomste

Om by iemand in die rooi te wees is vir meeste ’n onaangename ervaring, veral as die skuldeiser die Suid-Afrikaanse Inkomstediens (die SAID) is.Omstandighede lei egter […]
May 9, 2018

Addisionele mediese korting vir ’n individu: Wanneer kan ek mediese uitgawes uit die sak betaal as ’n eis indien?

Addisioneel tot die Artikel 6A mediese belastingkrediet is daar ook krediet beskikbaar vir individue (belastingpligtiges) wat mediese uitgawes self uit die sak uit betaal in terme […]
May 9, 2018

Buying out shareholders

We are often approached by clients to advise on the most tax efficient manner in which a shareholder can sell an investment in a private company. […]
May 9, 2018

How the VAT increase affects your business

Consumers and suppliers have by now had an opportunity to familiarise themselves with the increased Value-Added Tax (VAT) rate of 15% since 1 April 2018. There […]
April 20, 2018

Minimum wages

I am looking to employ a farm worker and I don’t know how much I should be paying him. If he will be working full-time, what […]
April 12, 2018

Fringe benefits provided to employees

The Seventh Schedule to the Income Tax Act[1] lists various benefits that employers may grant to employees which will attract income tax for the employee,[2] and […]
April 12, 2018

Changes to income tax returns for companies

The South African Revenue Service (“SARS”) implemented several changes to the annual income tax returns for companies (the ITR14) on 26 February 2018 as part of […]
April 12, 2018

Why it is important to know the value of your business

A properly considered business valuation can be the first step in many essential business processes and activities. Although there are many examples, these might include procurement […]
April 12, 2018

Cryptocurrency

Cryptocurrency and blockchain has been the hot topic in the media the past year.  It is a concept that few truly understand, and could change the […]
March 29, 2018

VAT increase and accounting systems

As you are aware, the National Treasury announced an increase in Value Added Tax (VAT) from 14% to 15% effective 1 April 2018. We urge you […]
March 23, 2018

The taxation of employee incentive schemes

It has become popular commercial practice for many employers to design employment incentive schemes whereby employees are remunerated for services rendered over a period of time […]
March 23, 2018

Tax consultancy services: A fringe benefit?

A recent judgment of the Tax Court sitting in Pretoria[1] highlighted yet again the very broad nature of the employment fringe benefit regime governed by the […]
March 23, 2018

Additional medical expenses tax credit

Section 6B of the Income Tax Act[1] provides for an additional medical expenses tax credit (“AMTC”) which is calculated against qualifying “out of pocket” medical expenses. […]
March 23, 2018

Withdrawal of VAT relief for residential property developers

Section 18B of the Value-Added Tax Act[1] was introduced effective 10 January 2012 in a bid to grant relief for residential property developers caused by the […]
March 15, 2018

Dieseleise

Foute word dikwels begaan ten opsigte van dieseleise. Hieronder volg ’n paar kernpunte om ingedagte te hou in verband hiermee: Diesel mag vir die BTW-periode net […]
March 7, 2018

Drought in the Berg River Dam

The Berg River Dam is one of the Western Cape’s major dams and is currently (published on 22 January 2018 by the City of Cape Town) […]
February 27, 2018

Odometer Reading – Claiming travel deductions

They’re also part of your tax returns If you’re a taxpayer who claims a travel deduction for work, we remind you to record those odometer readings […]
February 9, 2018

Claiming VAT input on “pre-enterprise” expenditure

In terms of section 17 of the Value-Added Tax Act, 89 of 1991, a registered VAT vendor is entitled to claim back any amounts of VAT […]
February 9, 2018

Borrowing to purchase listed shares – 100% tax ineffective?

Where a person borrows money to purchase shares, the general rule would be that the interest paid on the funds borrowed to fund that acquisition would […]
February 9, 2018

Income tax recoupments

In the ordinary course of business, assets used by taxpayers to conduct their trade are often written down over a number of years in the form […]
February 9, 2018

CGT exit charge

In terms of section 1 of the Income Tax Act[1] a natural person will be a “resident” for tax purposes if that person is ordinarily resident […]
January 24, 2018

5 Common small business money mistakes

Of all the roles a small business owner takes on, often the most challenging is managing the business’s finances. You can improve your chances for success – […]
January 24, 2018

Keep your business growing

Having a successful business means ensuring that it continues to grow. Without growth, your business will eventually run dry and stagnant. But with the added responsibility […]
January 24, 2018

Claiming input tax for vat purposes on immovable property

When a registered VAT vendor sells a property, that transaction is subject to VAT and not to transfer duty.[1] Where the purchaser of the property is […]
January 24, 2018

Deductibility of SED and ED expenditure

The South African Revenue Service (“SARS”) recently issued a binding private ruling (“BPR”)[1] in which the income tax consequences of expenditure in respect of socio-economic development […]
November 13, 2017

Accounting best practices for small businesses

When it comes to looking after the welfare of a business, accounting tops the list as being the most important. Without proper accounting, a business runs […]
November 13, 2017

Third provisional tax payments

Provisional taxpayers are required to submit two returns annually: one after six months from the start of the relevant year of assessment, and again one on […]
November 13, 2017

VAT and Transfer Duty

We are often asked whether the sale or purchase of immovable property is subject to VAT or to transfer duty. Confusion appears to creep in especially […]
November 13, 2017

Tax clearance certificates

Taxpayers may require SARS to issue them with a tax clearance certificate for various reasons. This includes a general confirmation that the relevant taxpayer’s affairs are […]
October 16, 2017

The VAT consequences of change in intended use of goods

It happens ever so often that a business would purchase goods, and subsequently apply those goods in a different manner than it had initially intended to […]
October 16, 2017

The importance of having a good accounting system

If your business doesn’t have an effective accounting system in place, you run the risk of making serious errors in your finances. Furthermore, a good accounting […]
October 16, 2017

Accounting tips for a successful business

Running a business has many challenges, from building clientele to employee relations. However, one of the biggest challenges a business may face is keeping abreast of […]
October 16, 2017

SARS to intensify action against tax offenders

Despite the fact that SARS has upheld their philosophy of education, service, and thereafter enforcement, they have noticed an increase in taxpayers not submitting their tax […]