Binding Private Ruling 391 ACT: INCOME TAX ACT 58 OF 1962SECTION: PARAGRAPH 1 – DEFINITION OF “ASSET”, “DISPOSAL” and “VALUE SHIFTING ARRANGEMENT”, and PARAGRAPH 11 OF THE EIGHTH SCHEDULE TO […]
Income Tax
Section 18A – Audit Certificates, Part 2
ACT: Income Tax Act 58 OF 1962, Section 18A(2B) AND (2C) This is part 2 of 2 in this series of articles. Please read part 1 before reading this second […]
Tax Guide for Share Owners
This article (number one of a series of articles) summarises some of the key aspects holders of shares need to be aware of in computing their liability for income tax […]
Prohibition of deductions in respect of certain intellectual property – part 1
Sources:SARS Interpretation Note 120Section 23I of the Income Tax Act Background The use of intellectual property belonging to another person normally carries a charge in the form of a royalty. […]
RESIDENT – PLACE OF EFFECTIVE MANAGEMENT
– INCOME TAX ACT 58 OF 1962 SECTION 1(1) A “place of effective management”, in determining the tax residence of a company, is only one of the considerations under the […]
Dividends Tax
The legislative foundation for the new Dividends Tax is to be found in sections 64D to 64N of the Income Tax Act, 1962 (the Act) and became effective on 1 […]
Bursaries awarded by a Resident Company and the Income Tax Consequences
Binding private ruling: BPR 389 dated 6 June 2023Relevant Act: Income Tax Act 58 of 1962, Section 1(1) – paragraphs (c) and (i); Section (1)(q); paragraph 2 of the Seventh […]
Waiver of debt by an employer relating to the unwinding of a share purchase scheme
Binding Class Ruling BCR 086 dated 26 May 2023 Relevant legislation: INCOME TAX ACT 58 OF 1962SECTIONS 1(1) – PARAGRAPHS (c) AND (i) OF THE DEFINITION OF “GROSS INCOME”, 10(1)(nE) […]
Exclusion of certain companies and shares from a “GROUP OF COMPANIES” as defined in Section 41(1) of the Income Tax Act
Relevant Acts:Income Tax ActThe Taxation Laws Amendment ActThe Tax Administration Laws AmendmentThe Rates and Monetary Amounts and Amendment of Revenue Laws Act Under specified circumstances, the corporate rules provide relief […]
Mining and Petroleum Royalties and Taxation
The mining industry is governed by different pieces of legislation, such as the MPRDA, MPRRA, Income Tax Act, VAT Act, Customs and Excise Act, and NEMA. The mineral royalty was […]