ConCourt judgment in Capitec vs SARS clarifies important VAT principles

The decision addresses the recovery of VAT on payments made under loan cover provided free of charge.

Stack up the evidence when claiming interest expenses

Taxpayers carrying on trade as an investment holding company should ensure they can demonstrate a high degree of involvement in the operations of the subsidiaries.

Welcome news for companies in business rescue

SARS’s discretion to write off temporarily an amount of tax debt while a company is subject to business rescue will be reviewed.

Budget 2024: how the inflation monster will affect taxpayers

The Budget Review suggests that National Treasury does not intend adjusting the tax brackets for at least another two years.

Forensic investigation at SAIPA is at an ‘advanced stage’

The apparent internal strife has not impacted the organisation’s membership or credibility, says board chairperson Prem Govender.

Budget 2024: No inflation-related adjustments to the tax brackets?

Not providing tax relief will be a relatively easy way for a cash-strapped National Treasury to collect revenue.

Understand the nuances of anti-avoidance rules, or get a binding ruling

Sars binding private ruling highlights the importance of regularly reviewing the nature of a preference share or an equity instrument.

EU court case may have bearing on SA law

The Court of Justice of the European Union’s recent ruling on the Value Added Tax treatment of directors’ fees prompts a reassessment of local legislation to ascertain the necessity of imposing Vat on such fees.

Considerations when deciding whether to keep a company dormant or close it

An entity can formalise its dormancy by way of a liquidation process or by deregistering with the Companies and Intellectual Property Commission.

Tax professionals ‘should prepare for more major shifts in SA’s tax system’

The compliance landscape has shifted from ticking the boxes to risk anticipation, risk identification, and proper disclosure.

Treasury makes some concessions on drastic tax proposals

Update on draft legislation: the requirement for foreign employers to withhold PAYE, Practice Note 31, and the foreign business establishment exemption.

An enforceable restraint of trade – what the court considers

The Labour Court upholds a two-year restraint in a case involving two wealth management companies.

Uncertainty over ‘place of supply’ rules for cross-border transactions

Place of supply rules are becoming more important as transactions become increasingly digital and supply chains become more complex.

‘Major disruptions’ ahead for vendors as Sars modernises its VAT administration framework

Vendors may have to acquire new software to be able to communicate with the Sars systems, or they may have to adjust their existing systems.

Income distributions to non-resident beneficiaries may be taxed twice

An amendment to the Income Tax Act makes it easier for Sars to collect taxes owed by tax non-resident beneficiaries of South African trusts.

Potential threat to South Africans who earn an income from foreign employers

A proposed amendment to the Income Tax Act will require foreign employers to withhold employees’ taxes.