Will Your Salary Increase Actually Leave You Worse Off?
Who wouldn’t love a salary increase of over 5% this year? Most employees would be happy with a raise that keeps up with inflation. But in 2025, even an inflation-related increase might not be enough to keep up with the rising cost of living as the taxman is taking a bigger bite out of your […]
Mining Giant Loses R17.5M Input VAT Battle Over ‘Entertainment Expenses’
A recent Supreme Court of Appeal (SCA) ruling should deliver a stark warning to businesses claiming input VAT deductions without a watertight legal foundation. In Aveng Mining Shafts & Underground v CSARS (1192/2023) [2025] ZASCA 20, the SCA sided with SARS, disallowing almost R17.5 million in VAT input claims for employee accommodation and food expenses.
Budget 2025: South Africans Seeking Opportunities Abroad Now Have More Choices Under an Expanded Tax Treaty Network
The 2025 Budget had some good news about lessening the tax liabilities for South Africans seeking career, business and lifestyle opportunities abroad. Government’s intention to expand its tax treaty network and renegotiate some existing treaties to double taxation agreements (DTAs) is a welcome step, as these treaties are one of the key enablers for mobile […]
SARS Allocated R7,5 Billion Budget to Bolster Crackdown on Non-Compliance
The 2025 Budget Speech, which finally took place on 12 March 2025, confirmed R7.5 billion to be allocated to resourcing of the South African Revenue Service (SARS), aimed at “broadening the tax base and improving administrative efficiency”.
Proposal to Define “Bona Fide Inadvertent Error” in the Tax Administration Act
The concept of a “bona fide inadvertent error” is a critical yet regrettably undefined term within the Tax Administration Act, No. 24 of 2011 (“TAA”). Section 222(1) of the TAA states that an understatement penalty is only applicable if the understatement does not arise from a “bona fide inadvertent error“.