 |
 |
 |
 |
 |
|
|
|
|
|
1-10 | 11-20 | 21-30 | 31-37 of 37
SARS appointment of retirement funds as tax agents creates dilemma
Wednesday, March 06, 2013
The appointment of retirement funds by the South African Revenue Service (SARS) as tax agents is creating a dilemma for funds trying to balance their fiduciary responsibilities towards members with the obligation of being appointed as a tax agent. Johan Kotze, Head of Tax Dispute Resolution at leading pan-African legal services group Bowman Gilfillan explained: “Many retirement funds are currently receiving tax agency appointment letters from SARS requesting funds to deduct outstanding tax from members’ pension, and to pay it over to SARS”. Johan Esterhuizen, Partner in the Pension Practice Group at Bowman Gilfillan, noted that appointments create a dilemma because the fund, the administrator and the trustees have to balance their fiduciary responsibilities towards the member with the obligation of being appointed as a tax agent.”
Taxpayers Beware – Tax Administration Act Deadlines
Thursday, December 06, 2012
The more things change, the more they stay the same? In the case of the Tax Administration Act No 28 of 2011 (“the TAA”) the answer is both “Yes” and “No”. And a taxpayer would be well advised to rather go and check the details, before assuming that what used to apply would still apply. For example, taxpayers and their advisers have become accustomed to how the prescribed number of days should be counted when submitting an objection to an assessment. However, it is important to take note of how this has changed:
What is the basic structure of the mining royalty regime in South Africa?
Wednesday, August 08, 2012
In South Africa the liability to pay mining royalties arises when mineral resources which have been extracted from within the Republic, are transferred. The 'transfer' of the mineral resources is the trigger for the imposition of the royalty. 'Transfer' is defined as the disposal of a mineral resource, or the consumption, theft, destruction, or loss of a mineral resource (other than by way of flaring or other liberation into the atmosphere during exploration or production) if that mineral resource has not previously been disposed of, consumed, stolen, destroyed or lost. Because mineral resources are often temporarily exported for refining, the temporary export of mineral resources is not regarded as a transfer.
New proposals for hybrid equity instruments and third party-backed shares
Tuesday, July 31, 2012
When the Draft Taxation Laws Amendment Bill of 2011 was released on 3 June, it contained proposed amendments to section 8E of the Income Tax Act and a proposal to introduce section 8EA into the Act. One of the proposed amendments was intended to increase the redemption period central to the application of section 8E from three to 10 years. If the proposal became law, it would have meant that in order to avoid the application of section 8E, an investor would have had to hold a share for at least 10 years and a day before redemption, which usually would not be feasible. Another proposal relating to section 8E was intended to extend the application of section 8E to foreign dividends, with the consequence that both domestic and foreign dividends received or accrued in respect of a hybrid equity instrument would be deemed to be interest in relation to their recipient.
VAT Benefits For Foreign Donor Funded Projects
Thursday, May 31, 2012
If foreign funding is received by a South African registered VAT vendor, it may be able to benefit from a special dispensation for approved "foreign donor funded projects" ("FDFP"). If a VAT vendor is registered as a FDFP, it will be allowed to zero rate all its supplies. The benefit of zero rating, is that the VAT vendor is still entitled to claim VAT input tax credits even though it charges VAT on its supplies at 0%.
Dividends Tax: The Basics
Thursday, May 31, 2012
Dividends tax replaced Secondary Tax on Companies ("STC ") with effect from 1 April 2012. In the Budget Speech of 22 February 2012, the rate of DT was increased to 15%. Further changes to the dividends tax legislation were also announced in the draft Taxation Laws Amendment Bill which was released on 13 March 2012.
Securities Transfer Tax - Refunds
Thursday, May 31, 2012
Where Securities Transfer Tax ("STT") has been overpaid, taxpayers are entitled to a refund of the amount overpaid. Section 4(1) of the Securities Transfer Tax Administration Act, 2007 (the "STTA Act"), states that "[t]he Commissioner must refund the amount of any overpayment of tax or of any interest or penalty properly chargeable in respect of the transfer of any security, if application for the refund is made within two years after the date of that overpayment."
Securities Transfer Tax (STT) - Changes to the Exemption for Brokers
Thursday, May 31, 2012
The Securities Transfer Tax Act 25 of 2007 ("the STT ACT") imposes Securities Transfer Tax ("STT") if there is a "transfer" of SA securities, in other words if beneficial ownership of the shares are transferred.
Section 9D - Leniency for 'Tainted Income'
Thursday, May 31, 2012
Section 9D of the Income Tax Act, 58 of 1962 (the "Act") is an anti-avoidance provision aimed at preventing South African residents from excluding tainted forms of taxable income from the South African taxing jurisdiction through investment in Controlled Foreign Companies ("CFCs"). One of the main targets of the provision is diversionary foreign business income earned through suspect structures designed to avoid South African tax. However, CFCs are often used for legitimate business purposes and the changes to section 9D suggest that this has been recognized.
New Rules Regarding Returns Of Capital By Companies
Thursday, May 31, 2012
1 April 2012 has come and gone, and by now all April fools' joke should be forgotten. However, 1 April 2012 could still have some significance for taxpayers, as it could have triggered a capital gains tax (CGT) liability for taxpayers holding shares, even if they did not receive any distributions and did not dispose of their shares.
