CHANGES TO INCOME TAX RETURNS FOR COMPANIES
The South African Revenue Service (“SARS”) implemented several changes to the annual income tax returns for companies (the ITR14) on 26 February 2018 as part of SARS’ ongoing efforts to promote efficiency and compliance. Two new schedules were added to the ITR14. Firstly, companies that wish to claim the learnership allowance in terms of section […]
CONTROLLED FOREIGN COMPANIES
Section 9D of the Income Tax Act[1] houses the South African “controlled foreign company”, or “CFC” regime. The provision’s aim is to effectively impute the income of a foreign company into the hands of its South African shareholders where South African shareholders own a majority of the shares in that company. In other words, where […]
INTEREST FREE LOANS WITH COMPANIES
The latest annual nation budget presented in Parliament proposed the dividends tax rate to be increased with almost immediate effect from 15% to 20%. The increased rate brings into renewed focus what anti-avoidance measures exist in the Income Tax Act[1] that seeks to ensure that the dividends tax is not avoided. Most commonly, the dividends […]