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The consequences of not completing the “yes/no” questions accurately on your tax return
2021 - 2021-11-26

The consequences of not completing the “yes/no” questions accurately on your tax return

The Respondent is Spur Group (Pty) Ltd (Spur). The Commissioner for the South African Revenue Service (SARS) approached the Supreme Court of Appeal of South Africa (SCA)1 seeking to appeal the judgment and order of the Western Cape Division of the High Court, Cape Town.

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Taxpayers can now make payment arrangement requests to SARS via eFiling
2021 - 2021-11-26

Taxpayers can now make payment arrangement requests to SARS via eFiling

Sections 167 and 168 of the Tax Administration Act 28 of 2011 (the TAA) allows taxpayers to defer their tax debt through the payment of the amount in instalments. Historically, a request for a deferred payment arrangement had to be submitted either at a SARS branch office or via the SARS Contact Centre. SARS has now added a third channel allowing the taxpayer to make this request via eFiling.

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Transactions between associated enterprises coming into the transfer pricing net
2021 - 2021-11-26

Transactions between associated enterprises coming into the transfer pricing net

The transfer pricing (TP) provisions, contained in section 31 of the Income Tax Act (ITA) of South Africa, are applicable to “affected transactions”. Affected transactions are regarded as being cross border transactions between “connected persons” where any term or condition to that transaction differs from that which would have existed had those persons been independent and dealing at arm’s length.

Connected persons in relation to a company includes any shareholder that holds at least 20% of its shareholding where no other company holds a majority or any majority shareholder (i.e., shareholding of at least 50%) or where a company holds at least...

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Concepts of the cryptocurrency market to be vigilant of when calculating tax liability
2021 - 2021-11-09

Concepts of the cryptocurrency market to be vigilant of when calculating tax liability

As the cryptocurrency market continues to evolve and mature, each new day brings a slew of new concepts that taxpayers need to be aware of, as these may have a significant impact on tax liability. In this article we aim to dispel some of the confusion surrounding these technologies, and it will serve as a handy guide when determining whether or not it has an impact.

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2021 - 2021-10-18

The critical numbers every business owner must know

Just about everything in business that matters can be expressed in a number. Your sales, your margins, your customer base, your costs, your profit, and your cash flow. They are all driven by numbers.

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2021 - 2021-09-28

PAYE deferral and ETI expansion

In terms of the Draft Explanatory Notes on the Emergency Tax Measures in Response to the Continuing Covid-19 Pandemic and Recent Unrest in the Country (Explanatory Notes),

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2021 - 2021-09-28

Assessed losses: Is this the right time to introduce limitations?

In terms of current law, taxpayers may set-off the balance of their assessed loss carried forward from a prior tax year (“Year 1”) against income of the current year (“Year 2”).

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2021 - 2021-09-28

Interest deductions: Beware of the limitation in section 23M

Section 23M was introduced into the Income Tax Act No. 58 of 1962 (“the Act”) with effect from 1 January 2015 to limit interest deductions in certain circumstances where the creditor is not subject to South African tax on the interest income.

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2021 - 2021-09-28

Possible further red tape around 18A receipts

A common misconception is that taxpayers may deduct donations made to any charity organisation or a non-profit organisation (“NPO”). This is incorrect. Rather, a taxpayer may in certain circumstances deduct donations made to public benefit organisations (“PBOs”) approved in terms of section 18A of the Income Tax Act No. 58 of 1962 (“the Act”) upon the issue of a section 18A receipt (adhering to certain requirements) by that PBO.

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2021 - 2021-09-28

Roll over relief on assets destroyed due to looting and unrest in South Africa

During mid July 2021, businesses across South Africa was severely impacted with violent riots, arson, destruction of property and looting.

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