July 13, 2021

Selling your primary residence? Keep this in mind

The Eighth Schedule of the Income Tax Act, which deals with capital gain tax, allows for exclusion from liability on any gains realised on the sale by a taxpayer of […]
July 13, 2021

Personal servitudes and its effect on transfer duty

According to reports, given current low interest rates, there have been an uptick in property transactions. Therefore, it is worthwhile considering the potential impact of any transfer duty taxes to […]
July 13, 2021

Will you be receiving a VAT invoice this year?

All value-added tax (VAT) vendors that have gone through a VAT verification from the South African Revenue Service know how frustrating the delays on input VAT refunds can be […]
July 13, 2021

What constitutes a dividend?

Although there are several exclusions to the general rule, South Africa applies a withholding tax on dividends declared by companies at a rate of 20%. It […]
June 3, 2021

Should you pay tax on refundable deposits?

The South African Revenue Service recently published a new Interpretation Note relating to the taxation of deposits. In the ordinary course of business, taxpayers may receive money […]
June 3, 2021

Why SARS is keeping an eye on asset for share transactions

The Income Tax Act contains various provisions in terms of which transactions can occur between specified parties without adverse tax consequences being incurred in respect of those […]
June 3, 2021

How to avoid excessive tax on medical payments

The South African Revenue Service recently published a draft Interpretation Note relating to the taxation of medical lump sums. Employers often provide various incentives to attract and retain employees with […]
June 3, 2021

Can losses be distributed out of a trust?

On 18 March 2021, the Supreme Court of Appeal delivered judgment in the case of Massmart Holdings Limited v The Commissioner for the South African Revenue Service. The case dealt with […]
May 3, 2021

It’s hunting season! Are you ready?

As the traditional winter hunting season approaches and South African borders are (somewhat) more open after the stricter COVID-19 lockdown, it is important revisit the Value-Added Tax (VAT) impact […]
May 3, 2021

10 tips for excellent cash flow management

Are you sitting down? Let us share a frightening statistic with you. In a report published by FinFind in November 2020, it was found that 42.7% of small businesses in South […]
May 3, 2021

Refund of signing payments to an employer

It often happens that a person may receive remuneration and other similar amounts (for services rendered or to be rendered, or by virtue of employment or […]
May 3, 2021

Why the POPI Act matters

The right to privacy is enshrined in Section 14 of South Africa’s Constitution and we understand it to be a vital human right. It states: “Everyone has […]
April 6, 2021

A few handy growth tips for sole proprietor business owners

Running a business as a sole proprietor, especially in a highly volatile economy, is a momentous task. You started your business because you believed that, at least to some […]
April 6, 2021

Auditing your tax compliance profile

Taxpayers who make use of the South African Revenue Service’s (SARS) electronic filing system (or as it is generally known, eFiling) will know that, in addition to containing a history […]
April 6, 2021

Budget 2021: Individuals and savings

Finance Minister Tito Mboweni delivered his third annual budget address on 24 February 2021. Below we highlight some of the significant proposals, which will likely be contained in the Draft […]
April 6, 2021

Budget 2021: What was missing?

Finance Minister Tito Mboweni delivered his third annual budget address on 24 February 2021. While there was plenty of information on both income and expenditure issues, as well as proposed tax […]
March 9, 2021

FODB Firma Nuus Maart 2021

Die volgende persone het 2021 by ons aangesluit:           Ons wens ook graag vir Jené en Brandon Jones geluk wat ouers geraak […]
March 8, 2021

Voluntary Disclosure: Positive strides in clearing backlogged cases

Recently there has been a very positive uptick in activity at the Voluntary Disclosure Unit (VDP) of the South African Revenue Service (SARS). While public perception was previously that taxpayer’s matters […]
March 8, 2021

Value-Added Tax on vouchers

On 12 January 2021, the Gauteng High Court delivered judgement in the matter of MTN (Pty) Ltd v CSARS (79960/2019) [2021], in respect of a declaratory order that […]
March 8, 2021

Knowing your rights when it comes to taxes

Since the introduction of the Tax Administration Act in 2011, which aimed to consolidate most of the administrative matters in tax acts, taxpayers have become ever more […]
March 8, 2021

Setting your business up for expansion

When businesses expand, they often look beyond national borders. With such an expansion, there are several added advantages for establishing a holding company, which then owns […]
February 2, 2021

Be wary of zero or low-interest loans

The in duplum rule originated from the South African common law and has been applied through South African case law for over 100 years. The rule aims to protect […]
February 2, 2021

2020: A year in tax

As a new year dawns, we reflect on some of the significant highlights (and lowlights) of the 2020 tax year and look ahead at how it will influence […]
February 2, 2021

The whys and wherefores of subordination loans

In the current economic climate, it is not uncommon for companies to find themselves going through periods of varying levels of financial distress. These periods of […]
February 2, 2021

VAT consequences of employee-related recoveries

Companies are often faced with the dilemma where employees are employed in one group entity, but another group entity pays the salaries of those employees. This […]
January 19, 2021

Why you need to beware of withholding taxes when emigrating

Many South Africans who simultaneously emigrate and cease to be South African tax residents are faced with a situation where the sale of a fixed property has not […]
January 19, 2021

A new standard for criminality regarding tax matters proposed

In June of 2020, tax practitioners and legal advisors were confronted with proposed new legislation regarding certain actions (or defaults) by taxpayers that would have constituted criminal acts. Currently, the Income Tax […]
January 19, 2021

The unfortunate timing of BGR55 for developers

In terms of the Tax Administration Act, the South African Revenue Service (“SARS”) can issue Binding General Rulings (“BGR”) on matters of general interest or importance and clarifies the […]
January 19, 2021

Shareholding in SA companies: Beware of residency changes

In 2001, South Africa, like many other countries, introduced capital gains tax aimed at levying capital gains tax on the gain made from the disposal of certain assets. […]
November 16, 2020

Is SARS wriggling out of its obligations?

Section 45 of the Value-Added Tax Act makes provision for the payment of interest on delayed VAT refunds. In terms of section 45(1) of the Act, the South African […]
November 16, 2020

What happens when debt is waived?

Many natural persons or trust shareholders in companies are confronted with the unintended tax consequences of owing an amount on a loan account to the company in which they […]
November 16, 2020

Insuring your tax obligations

In addition to tax liabilities (tax capital amounts), taxpayers are also subject to an array of penalties and interests in respect of late payments, understatements, specific punitive […]
November 16, 2020

Smart accounting: Are you vat compliant?

The last several years have seen an increase in “smart accounting systems” that have online capabilities and that can integrate with various other business solutions. These […]
October 7, 2020

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 […]
October 7, 2020

Bursaries and scholarships: The tax rules are changing

Over the past several years, many employers and employees have made use of the beneficial tax treatment of bursary and scholarship schemes, as provided for in […]
October 7, 2020

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 […]
October 7, 2020

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 […]
August 27, 2020

What to expect this tax season as an individual taxpayer

The tax season is swiftly approaching. For many people, it’s a time of the year that they dread. When it comes down to it, tax can […]
August 27, 2020

Beware of scams during filing season

In late August 2020, a large credit bureau in South Africa was the target of a data breach where millions of private individual and company data records were compromised. This data leakage, coupled with the tax filing season, makes for the perfect opportunity […]
August 27, 2020

Becoming a chartered accountant

The process of becoming a chartered accountant can be a gruelling and challenging part of your life, just ask any chartered accountant out there. Becoming a […]
August 27, 2020

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 […]
August 4, 2020

Tax relief measures for small business from the effects of COVID-19

The last few months have been extremely tough for small business owners as a result of the global COVID-19 pandemic, and various lockdown measures that have created a challenging trading […]
August 4, 2020

Preparing a rapid-response to fake news

In the digital age, information is everywhere. At the click of a button a message can travel across oceans in the time it takes to blink. […]
August 4, 2020

The give and take of share transfers

Many business transactions are concluded in terms of section 42 of the Income Tax Act. The section essentially allows a transfer of an asset by a person to a company, in […]
August 4, 2020

Doubling down on income taxes

The purpose of double tax agreements (“DTA” or “treaty”) between the tax administrations of two countries is to enable the administrations to eliminate double taxation, where […]
July 6, 2020

Farming operations in South Africa and the tax implications thereof

Farming in South Africa is like second nature to most South Africans, but the tax implications on farming operations seem to raise some questions when determining a […]
July 6, 2020

Do You Know The Different VAT Supplies?

There are a few instances where VAT is not charged at the standard rate of 15%. In the following newsletter, we distinguished between the different supplies that attract […]
July 6, 2020

Taxation of Foreign Employment Income

South Africa has a residence-based tax system, which means residents are taxed on their worldwide income, regardless of where that income was earned. South African tax residents living overseas and earning remuneration in respect of services rendered outside of South Africa […]
July 6, 2020

Does your home office qualify you for a tax deduction?

As the old adage goes, change is as good as a holiday. But the way that the novel coronavirus has shaken up the world we live […]
June 8, 2020

Can a third party collect my taxes?

In SIP Project Managers (Pty) Ltd v CSARS (29 April 2020), the Gauteng Division of the High Court ruled against SARS on the appointment of a third-party (Standard […]
June 8, 2020

Tax statutes: It’s all about context

In Commissioner for SARS v United Manganese of Kalahari (UMK) (25 March 2020) the interpretation of tax statues in conjunction with other statutes was considered. UMK conducts mining […]
June 8, 2020

Taxpayers’ details remain protected

In the case of the Commissioner for SARS vs Public Protector (23 March 2020) in the Gauteng High Court, the matter of the confidentiality of taxpayer information came […]
June 8, 2020

Understanding liquidations and tax deductions

In CSARS v Pieters and others, the Supreme Court of Appeal (SCA) was tasked with deciding whether liquidators were required to withhold employees’ tax from payments made […]
May 5, 2020

The effects of COVID-19 – Economically speaking

As we all know, the COVID-19 pandemic has taken the globe by storm. As of the 14th of April, the total cases of COVID-19 is 1,925,877 […]
May 5, 2020

Fringe benefits and retirement funds

Binding Class Rulings (BCR) are issued in response to applications by a specific class of taxpayers (usually persons that will have the same tax consequences apply to them from a transaction) and clarifies how the Commissioner for […]
May 5, 2020

Transferring assets from persons to companies

Many business transactions are concluded in terms of section 42 of the Income Tax Act. This section essentially allows a transfer of an asset by a […]
May 5, 2020

VAT concerns for international service providers

On 3 April 2020, the Supreme Court of Appeal delivered a judgement against Diageo South Africa (Pty) Ltd (“Diageo SA”) in a value-added tax (“VAT”) matter […]
April 20, 2020

Managing your startup capital

Becoming an entrepreneur is not as easy as waking up with an idea and having money thrown at you to turn it into a reality. Most […]
April 20, 2020

You should get a financial advisor

It’s not to say you spend finances irresponsibly, but having a reputable financial advisor comes in handy. Depending on your financial needs, your advisor may be […]
April 19, 2020

Capital Gains Tax on Death

Section 9HA of the Income Tax Act deals with deemed disposals by a deceased person. This section of the Act often causes some confusion, especially where […]
April 19, 2020

Practical Considerations in Claiming SARS COVID-19 Relief

While South Africa is currently in a state of lockdown during which a significant number of businesses have had to cease operations, some relief from a […]
March 10, 2020

Section 7C – a practical explanation

What is section 7C? This section of the Income Tax Act is an anti-avoidance measure aimed at transactions between connected persons and trusts, where a trust […]
March 10, 2020

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 […]
March 10, 2020

Additional tax considerations

The distinction between amounts received of a capital nature as opposed to a revenue (or income) nature is essential for income tax purposes. Non-capital amounts received, […]
March 10, 2020

What you should consider when investing in a business

Investing in a business is a daunting decision. Whether you are investing in a new or established enterprise, there will always be risk involved. The best […]
February 14, 2020

For how long can your taxes haunt you?

In terms of section 99 of the Tax Administration Act, 28 of 2011, an assessment may not be made three years after the date of an […]
February 14, 2020

Intra-group transactions and the subsequent sale of assets

The South African Revenue Service (“SARS”) issued a private binding ruling (BPR329) on 27 September 2019 on the tax implications of intra-group transactions and the subsequent […]
February 14, 2020

How are assets distributed during liquidation?

The South African Revenue Service (“SARS”) issued Binding Private Ruling 336 on 6 December 2019. In terms of this ruling, a listed resident company (“the Company”) […]
February 14, 2020

How to manage your tax debt

With the tax filing season for individuals now closed, taxpayers may find themselves with tax debt that is due. This may be due to administrative penalties […]
January 21, 2020

Belastingbeplanning: Minder ja, maar nie niks nie

Belastingbeplanning is noodsaaklik om te verseker dat jou welverdiende Rande, binne alle wette en regulasies van die Suid-Afrikaanse Inkomstediens en die Inkomstebelastingwet, te rek vir die nabye […]
January 21, 2020

Employee trust: Distributions

Binding Private Ruling 330 (“BPR330”) was issued on 3 October 2019 and relates to the tax implications arising from distributions of dividends and other amounts from […]
January 21, 2020

Korporatiewe beheer – ’n refleksie

Die einde van 2019 het aangebreek. Ons het dit dus goedgedink om ʼn kort opsomming vir u te gee van die belangrike onderwerpe wat gedurende die jaar aangeraak is.  CIPC jaarlikse opgawes  In terme van Artikel […]
January 21, 2020

Employee share ownership plan – Part 1

Binding Class Ruling 069 was issued on 23 October 2019 and relates to the tax implications that arise in respect of proposed employee share schemes (“the […]
November 1, 2019

Farming operations in South Africa and the tax implications thereof

Farming in South Africa is like second nature to most South Africans, but the tax implications on farming operations seem to raise some questions when determining […]
November 1, 2019

Valuation of trading stock for tax purposes

On 27 September 2019, just over a year since delivering judgement in another matter with very similar facts, the Supreme Court of Appeal in CSARS v […]
November 1, 2019

Hoe is Korporatiewe Beheer geraak in 2019?

Die einde van 2019 het aangebreek. Ons het dit dus goedgedink om ʼn kort opsomming vir u te gee van die belangrike onderwerpe wat gedurende die […]
November 1, 2019

Die belangrikheid van belastingbeplanning

Belastingbeplanning is noodsaaklik om te verseker dat jou welverdiende Rande, binne alle wette en regulasies van die Suid-Afrikaanse Inkomstediens en die Inkomstebelastingwet, te rek vir die […]
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 […]