How the New Expropriation Act Shapes Land Acquisition in South Africa
President Cyril Ramaphosa recently signed the Expropriation Act into law, replacing a 50-year-old statute and providing a clearer framework for expropriating property in South Africa. This Act, which aligns with Section 25 of the Constitution, outlines how the government can acquire land for public purposes, with an emphasis on fair compensation for property owners. While […]
Transfer of assets between spouses: what are the tax implications?
Section 9HB of the Income Tax Act provides for a roll-over of a capital gain or loss when an asset is transferred between spouses during their lifetimes. The roll-over is mandatory, and spouses do not have the option to elect out of it. The policy rationale for the roll-over is that the transferor spouse must benefit […]
WITHHOLDING TAX ON PROPERTY SOLD BY NON-RESIDENTS
A remarkable number of non-residents own property in South Africa. While non-residents are not subject to South African capital gains tax generally, an exception is to be found where non-residents dispose of South African immovable property, or shares in “South African property rich” companies.A obvious practical difficulty arises though for SARS to collect taxes from […]