The position for non-executive directors remain complex, despite the recent SARS General Rulings. The general rules confirmed in these Rulings are that non-executive director fees will, with effect 01 June 2017, not be subject to employees’ tax withholding and will be subject to VAT where the non-executive director is liable for VAT, either through voluntary […]
Historically, it was unclear whether amounts paid to a non-executive director were subject to the deduction of employees’ tax and whether the prohibition against certain deductions by salaried employees applied to them. This being as a result of a non-executive directors arguably not earning remuneration as defined in the 4th Schedule to the Income Tax […]
ALL eyes will be on government’s tax proposals in the upcoming national budget, to be tabled in Parliament on February 22. The minister of finance already indicated in his mini budget that the fiscal authorities will be looking for additional tax revenue of R28bn in the 2017/18 fiscal year, plus a further R15bn in 2018/19, […]
SA RETIREMENT LUMP SUMS: FULLY TAXABLE DESPITE OFFSHORE SERVICES Promulgation of the 2016 Taxation Laws Amendment Bill on 8 January 2017 brings about an impending change to the way in which South African pension, pension preservation fund, provident funds, provident preservation funds and retirement annuity fund (“hereinafter collectively referred to as a “retirement fund”) lump […]
The following Bills were promulgated and signed on 11 January 2017 by President Jacob Zuma: The Taxation Laws Amendment Act; The Tax Administration Laws Amendment Act, 2016; The Rates and Monetary Amounts and Amendment of Revenue Laws (Administration) Act, 2016; and The Rates and Monetary Amounts and Amendment of Revenue Laws Act, 2016. Several changes have […]
With the introduction of Dividends Withholding Tax during the 2013 fiscal year, corporate taxpayers (effectively) saw an increase in the effective tax rate from 34.55% to 38.8% while the Royalty withholding tax was increased from 12% to 15% in the 2015 fiscal year. In the 2016 fiscal year, individual taxpayers bore part of the brunt […]
VISIT YOUR NEAREST SARS BRANCH TO VERIFY CHANGES TO YOUR PERSONAL Some taxpayers recently received messages from SARS about the changing of their personal details. If you received this message (and to ensure that the resultant changes are not fraudulent) you are kindly requested to visit your nearest SARS branch as soon as possible with […]
SARS has released their Interpretation Note 92 (documentary proof prescribed by the Commissioner). For access to the entire note, please click here
South Africa could add pure fruit juices to the list of drinks expected to face a levy under a proposed tax on sugary drinks, the Treasury has said, in a country where more than half of adults are overweight. In his budget speech in February, Finance Minister Pravin Gordhan proposed the tax on sugary drinks […]