Author Archive for: ‘Shannon’

Donations Tax is payable by any South African resident. The donations tax provisions do not apply to non-residents even if they donate South African assets. Donations tax is payable on the value of any gratuitous disposal of property (including the disposal of property for inadequate consideration) and the renunciation of rights. Principal exemptions Donations between spouses Donations to charitable, ecclesiastical …

The employment tax incentive was instituted in order to encourage employment creation for the youth (i.e. employees between the ages of 18 and 29 years) and the incentive will come to an end on 28 February 2029. If an employer is eligible to receive the employment tax incentive in respect of a qualifying employee in respect of a month, that …

The general rule is that if the taxpayer is ordinarily resident in the Republic at the time of death, all of his assets (including deemed property), wherever they are situated, will be included in the gross value of his estate for the determination of duty payable thereon. Estate duty is levied at 20% on the first R30 million of the …

An executor is entitled to the following remuneration: The remuneration fixed by deceased in the will, or 3.5% of gross assets 6% on income accrued and collected from date of death Executor’s remuneration is subject to VAT where the executor is registered as a vendor.

Non-residents may invest in the Republic, provided that suitable documentary evidence is received in order to ensure that such transactions are concluded at arm’s length, at fair market-related prices, and are financed in an approved manner. Financial assistance in South Africa Emigrants: local financial assistance made available to emigrants is subject to the 1:1 ratio. Non-residents: authorised dealers may grant …

Non-residents may invest in the Republic, provided that suitable documentary evidence is received in order to ensure that such transactions are concluded at arm’s length, at fair market-related prices, and are financed in an approved manner. Financial assistance in South Africa Emigrants: local financial assistance made available to emigrants is subject to the 1:1 ratio. Non-residents: authorised dealers may grant …

Foreign capital Investments Resident individuals who are over 18 and taxpayers in good standing are permitted to invest abroad. The current limit is R10 000 000 per person per calendar year. Applications by individuals to invest in fixed property and other investments will also be considered in addition to the foreign capital allowance. Single discretionary allowance (in addition to foreign …

The First schedule of the Income Tax Act regulates farming taxes. The most important sections are: Valuation of livestock and produce Only livestock and produce need to be brought into account at year-end and not consumables like seed, fertiliser, fuel etc. Produce is valued at the lowest of average cost of production or market value. Livestock can be valued at …