Davey’s Locker
SECTION 9D(9)(b) FOREIGN BUSINESS EXEMPTION (FBE) FOR CONTROLLED FOREIGN COMPANIES (“CFC’S”) – THE SCA CORONATION CASE TRANSFORMS INTO LEGISLATION
Editor’s Note: In this sixth newsletter for 2023 we consider the following: Section 9D(9)(b) Foreign Business Exemption for Controlled Foreign Companies. Practice Note 31 revisited. Distributions of income to non-resident beneficiaries to be taxed in resident trusts...
PUBLIC INTEREST TRUMPS TAX PRIVACY – CONCOURT JUDGEMENT
(Arena Holdings (t/a) Financial mail v SARS and others, CCT 365/21 heard 23 Aug and 30 May 2023) Editor’s Note: In this fifth newsletter for 2023 we consider the following: Public interest trumps tax privacy – Concourt judgement. Offshore remittances from RSA by tax...
OFFSHORE REMITTANCES FROM RSA BY TAX NON-RESIDENTS – NEW TCS PROCESS
Editor’s Note: In this fourth newsletter for 2023 we consider the following: Offshore remittances from RSA by Tax Non-Residents – New TCS process. C,SARS v Coronation Investment Management SA (2023) ZASCA10 – Offshore Asset Management structure. Section 31...
REVISED DISPUTE RESOLUTION RULES
Editor’s Note: In this third newsletter for 2023 we consider the following: Stop Press – Revised Dispute Resolution Rules published. USP Penalties revisited: Thistle & Coronation SCA Judgments Domestic solar PV panels tax rebate and Business Deduction – Budget...
BUDGET SPEECH 2023/24 TAX YEAR
Editors Note: In this newsletter we address salient features of the National Budget, 22 February 2023. Tony Davey – Editor Duncan McAllister – Co-Editor Werner Vos - Consultant 1. INDIVIDUALS The maximum marginal rate for natural persons remains at 45% and is reached...
PRACTICE NOTE (PN) 31 of 1994 TO BE POSSIBLY WITHDRAWN
Editor’s Note: In this first newsletter for 2023 we consider the following: Practice Note (PN) 31 of 1994 to be possibly withdrawn Corporate assessed loss limitations time-aligned to corporate tax rate reduction Foreign Pension trust (FPT) continued: Donations tax and...
C: SARS v THE THISTLE TRUST – THE SCA CONFIRMS THAT CAPITAL GAINS CANNOT FLOW THROUGH MULTIPLE DISCRETIONARY TRUSTS
Editors Note: In this seventh newsletter for 2022 we consider the following: C.SARS v The Thistle Trust Judgement – CGT downside for multiple trust structures First Tax Ombud’s Term of Office Expires SARS BCR 080 Revisited: Foreign Pension Trust and Estate Duty SARS...
FOREIGN PENSION TRUST – SARS ADVANCE TAX RULING
Editors Note: In this sixth newsletter for 2022 we consider the following: Foreign Pension Trust – SARS Advance Tax Ruling (ATR) Two-Pot Retirement System & Tax The Model v SARS – 211/2021 (judgment 20 June 2022), ZASCA Post Facto Public Domain Information and...
DISTRIBUTIONS BY RSA TRUSTS TO NON-RESIDENT TRUSTS NOT PERMITTED
In this fourth newsletter for 2022 we consider the following: Distributions to Non-Resident Trusts not permitted; Game Farming, Cash Heists and Tax; Interpretation Note 58 (Issue 3): The Brummeria case and the right to use loan capital interest free, revisited and...
Multiple Annuities and PAYE
In this fourth newsletter for 2022 we consider the following: Multiple Annuities and PAYE; Change of Tax Residence – Procedural Tax Timing Issues and Section 9H; Withdrawing Retirement Benefits as a Non-Resident – The Three-Year Rule; Home Bond Interest Deduction...
DRAFT COMPENDIUM OF TAXPAYERS RIGHTS
The office of the Tax Ombud (OTO) has published in 2022, a draft Compendium of Taxpayers’ Rights, Entitlements and Obligations vis-à-vis SARS. This is not a legally enforceable Bill of Rights but a compilation of principles contained in the Constitution, Tax...
BUDGET SPEECH 2022/23 TAX YEAR
1. INDIVIDUALS The maximum marginal rate for natural persons remains at 45% and is reached when taxable income exceeds R1 731 600 (previously R1 656 601). The minimum rate of tax remains at 18% on taxable income not exceeding R226 000 (previously R216 200). The...