Major TAX changes on cards at SARS!
According to Joon Chong, a partner at Webber Wentzel, the South African Revenue Service (SARS) intends to collect taxes from individuals in real time on a monthly basis, but various practical obstacles must be resolved first. In February 2020, SARS said that as part of its "Vision 2024" initiative, it aimed to become a future […]
Budget Speech 2022
Enoch Godongwana, the South African Finance Minister, presented his first budget speech on February 23. For the most part, it’s a budget that’s beneficial for South African businesses. Business owners can breathe a sigh of relief as they plan for the new tax year, with no big tax increases and a few nice surprises, including […]
What is income tax?
Income tax is a type of tax that is levied on taxable income. The following are examples of quantities that an individual may receive and from which taxable income is calculated: Salary, earnings, bonuses, overtime pay, taxable (fringe) benefits, allowances, and certain lump sum benefits are all examples of remuneration (revenue from employment). Profits or […]
South Africa’s tax hikes that could pay a new basic income grant
President Cyril Ramaphosa has been a strong advocate for a basic income grant in South Africa, Michael Sachs argues the government must be realistic about the fact that the increased costs will entail tax increases and budget cuts. Sachs is an adjunct professor at the University of the Witwatersrand’s Southern Centre for Inequality Studies. Between […]
South Africa’s tax ‘laws’ have been updated — here’s what you need to know.
In South Africa, the Office of the Tax Ombudsman (OTO) has released its first compendium of taxpayers’ rights and obligations. The ombudsman explained that while the compendium is not a legally enforceable set of regulations in and of itself, it does bring together a collection of concepts found in other documents such as the Constitution, […]
A TAX boost for South Africa
South Africa’s gross tax collection increased by 29.5 percent year on year in the first nine months of the fiscal year 2021/22. The Bureau for Economic Research (BER) noted in a research note on Monday that this contrasts to a projected 19 percent increase for the entire fiscal year, from November 2021 to March 2022, […]
In 2021, Sars’ revenue collection was down 7.8%.
According to the National Treasury and the South African Revenue Service (Sars) Tax Statistics 2021 edition, total tax revenue collections fell 7.8% to R1.25 trillion in the 2020/21 financial year, down from R1.36 trillion the previous year. "Revenue collections in the 2020/21 fiscal year were severely impacted on by the Covid-19 pandemic lockdown restrictions, and […]