SARS published an updated 134-page guide to taxation in South Africa in 2024. Below is a list of the most significant tax legislation administered in South Africa by the Commissioner […]
Fincor
The Five Transfer Pricing Methods
SARS accepts the methods prescribed by the OECD, these being: SARS has indicated that it will subscribe to the OECD’s view of accepting a best-method approach as long as it […]
SARS GUIDE ON THE SOLAR ENERGY TAX CREDIT PROVIDED
DRAFT SARS GUIDE ON THE SOLAR ENERGY TAX CREDIT PROVIDED UNDER SECTION 6C – February 2024 Following on from our article “Renewable Energy Incentives” dated 23 November 2023, herewith follows […]
Transfer Pricing Methods – The Cost Plus Method
Before explaining the Cost Plus Method, a summary of why certain Methods are chosen must be given. Also, please read the previous articles regarding Transfer Pricing principles before reading these […]
Interest deductibility in South Africa
In South Africa, interest is deductible under the Income Tax Act, whether or not the interest is capital in nature, provided the interest is incurred “in the production of income” […]
Commission earnings and taxation
Commission earners who earn more than 50% of their total remuneration as commission income are not limited in the type of business expenses they can claim, as long as these […]
Leasehold improvement allowance and Section 11(h) of the Income Tax Act
Source: Private Binding Ruling BPR 401 of 14 December 2023 This ruling determines the tax consequences for a lessor in respect of improvements effected by a lessee. In this ruling […]
Donations tax implications on the issue of shares at nominal value to enhance B-BBEE credentials
ACT: Income Tax Act 58 and a SARS General Binding Ruling, Number 400. This ruling by SARS determines whether donations tax will be payable on the amendment of a company’s […]
Taxpayers and retention of records as per the Tax Administration and Companies Acts
Relevant Act: Tax Administration ActGovernment Notice 787 of 01 October 2012; Gazette 35733Electronic Communications and Transactions ActCompanies Act A person must keep records, books of account, or documents. The retention […]
Tax Consequences of the Termination of an En Commandite Partnership
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 […]