Tax

Admin penalties for outstanding corporate income tax returns

  |   Tax

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 to all companies that are resident in South Africa, that receive source income in South Africa, or that maintain...

Read More

Simulation

  |   Tax

In addition to specific anti-avoidance provisions and the general anti-avoidance provisions (GAAR) in the Income Tax Act,[1] the South African Revenue Service can apply another established principle to attack the validity of transactions and arrangements, namely the common law doctrine of simulation, or the plus...

Read More

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

  |   Tax

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 tax liability.   However, section 20A of the Income Tax Act[1]ring-fences losses incurred by natural persons from certain trades under specific...

Read More

Wenke om geregistreerde besonderhede op datum te hou

  |   Tax

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 individu, maatskappy, trust of enige ander entiteit) korrek is, deur dit te bevestig en op te dateer met gebruik...

Read More

Bad debts and VAT

  |   Tax

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) of the Income Tax Act[1] to allow for an allowance of 25% of impairments in respect of doubtful debts),...

Read More

Changes to Income Tax returns for trusts

  |   Tax

The South African Revenue Service (“SARS”) implemented several changes to the income tax returns for trusts (the ITR12T) on 26 February 2018. These changes apply in respect of the year of assessment ending on or after 28 February 2017, unless taxpayers have already saved or...

Read More

Valid Tax Invoice Requirements for VAT Vendors

  |   Tax

When making a purchase for your business, you should always ensure you receive a valid VAT invoice. This enables you to claim input VAT from SARS. With the change in VAT rate from 14% to 15%, VAT has come under the spotlight. This brings more...

Read More

2018 Tax Season: SARS shortens submission period

  |   Tax

The annual tax filing season is upon us and acting SARS Commissioner, Mark Kingon, announced that the season will open on 1 July 2018 for eFilers. SARS branches will assist taxpayers from 2 July 2018. The filing season will then end on 31 October.   To improve...

Read More