Implementing a new IT system for your business can be a daunting task. Many people find it difficult to initiate and cope with change, as well as to agree with colleagues on what the best way forward can be. Yet, it is important for every modern-day business who wants to maintain a competitive advantage within their market to implement and continuously improve upon their systems and processes. This challenging task requires buy in from all employees but must be driven by managers with a wholistic view of the business. Here are a few important points to take note of when implementing new systems:
Government remains committed to structural reforms designed to lower the cost of doing business and create a more competitive economy. Over the medium-term, the following reforms will be accelerated:
The finance minister presented his maiden MTBPS on the 11th of November. Below are some key extracts:
A highly disciplined fiscal policy is to be maintained if we are to enjoy economic growth and stability in the medium to long term. Below are some key points extracted from the Medium-Term Budget Policy Statement (MTBPS):
Below is a brief synopsis of the economic outlook as presented at the Medium-Term Budget Policy Statement (MTBPS).
The director’s role has without a doubt become more onerous amidst the Covid 19 pandemic. However, the Companies Act makes provision for operating in a virtual world, which includes, inter alia:
Newly appointed Minister of Finance, Mr Enoch Godongwana will table the MTBPS on the 4th of November at 14h00. The MTBPS sets out the policy framework for the Budget that is presented every February, updates National Treasury's economic forecasts, adjusts the budgets of government departments and makes emergency changes to spending.
Since the introduction of remote working due to the lockdowns across the globe, many South African employees have become accustomed to working in this “new normal” and are also indeed preferring it to more traditional, onsite workdays. So much so that a significant number have said they would rather change jobs than going back to being required to work onsite exclusively. Though there are many benefits in having a flexible work force, going back to the office might be better suited for your employees. In this article we will discuss the different benefits provided by both remote and onsite working.
Penalties for late filing of Pay As You Earn (PAYE) returns was introduced this year. SARS is in the process of enhancing their Dispute Resolution process to allow for this penalty to be disputed separately from a PAYE late payment penalty.
A crypto asset is a digital representation of value that is not issued by a central bank, but is traded, transferred and stored electronically by natural and legal persons for the purpose of payment, investment and other forms of utility, and applies cryptography techniques in the underlying technology.
Despite the recent relaxation of the national lockdown, various businesses and employees are still negatively impacted by the COVID-19 pandemic. These negative impacts are further exacerbated by the impacts of the recent unrest in the country that destroyed businesses and infrastructure. The Government, therefore, wishes to provide additional assistance to those who continue to be adversely affected by COVID-19, as well as assisting in the process of reconstructing businesses. Moreover, this support measure is aimed at supporting employment in the most vulnerable sections of the labour market.
While one should review their estate plan annually, here are some key events which should ring a bell for an estate planner to revise their estate plan:
Since the increasing availability of Information and Communications Technologies (ICTs) over the past decade, as well as due to the COVID-19 pandemic, remote working has become more prominent throughout the world. It has given employees and businesses great flexibility on how they conduct their everyday business, improved productivity and as well as shown many that physical offices are no longer necessary or can at least be downscaled to decrease costs. However, since the increase in remote working, there has been an evident increase in technostress experienced by those working remotely.
The structure and essential requirements for a valid trust can be found below:
President Cyril Ramaphosa announced several emergency tax relief measures in response to the continuing Covid-19 pandemic and recent unrest that are aimed at helping affected and tax compliant businesses to recover and ensure livelihoods for employees.
The South African Special Risks Insurance Association (SASRIA) will form a key part of the intervention to help insured businesses restore their operations. Together with reinsurers, SASRIA has already begun its claim administration process. Pay-outs will be provided to all covered businesses. Crucially, government has decided to provide full financial backing to SASRIA should it exceed its solvency limits. The National Treasury is putting in place the necessary arrangements to ensure that this commitment is met should it be needed.
There have been a number of amendments gazetted this year to the VAT Act. The amendments came into effect on 1 April 2021 unless otherwise stated. A brief summary of some of the more important VAT amendments is provided below:
Since the beginning of the COVID-19 pandemic, governments have put their countries into lockdowns – forcing businesses to adapt and work remotely. This sudden surge in internet usage has also seen a large increase in cyber-attacks, according to Mimecast’s 2020 state of email security report. The report showed that 61% of companies suffered from a ransomware attack, a 64% increase in email threats and a total of 79% of organizations were negatively affected due to their lack of cyber preparedness.
The recent ruling by the Constitutional Court sentencing Jacob Zuma to 15 months jail time can only be hailed as a victory for democracy and a booster for the South African economy. If one of the most powerful men in South Africa can be held accountable for their actions, then beware those who have been living off graft and corruption for the last decade.
The Information Regulator (Regulator) announced on 18 June 2021 that they are granting an extension on the application on processing as set out in Section 58(2) from 1 July 2021 to 1 February 2022. It is important to note that this is not an extension of compliance to the POPIA but only refers to the implementation of Section 58(2). Section 58 deals with the requirements that a responsible party must notify the Regulator if processing is subject to prior authorisation.
The economic effects of the coronavirus crisis have been extensive in South Africa (SA) and a recovery to pre-pandemic levels will take several years. While it is forecast that the SA economy will recover marginally in 2021, it is likely to be uneven and subdued.
The Protection of Personal Information Act (no.4 of 2013) (hereinafter referred to as 'POPIA' or 'the Act'), which gives effect to the Constitutional right to privacy in South Africa, commenced on the 1st July 2020. There has been a grace period for one year.
Information and Communication Technologies (ICTs), have shown to be major contributors to the effectiveness of many different businesses throughout the world and are constantly changing the way people and industries operate. ICTs can be defined as an array of technologies that are designed to collect, store, process and communicate information both internally as well as externally, of an organization. This makes ICTs quite a broad category of technologies but some of the most common examples are cloud computing, mobile apps, networked environments and even the Internet!
Filing season starts on the 1st of July this year. The good news is that a significant number of individual taxpayers will be auto-assessed again this year, and this process will start in July. SARS will send you an SMS if you are selected to be auto-assessed. SARS will auto-assess based on the data received from employers, financial institutions, medical schemes, retirement annuity fund administrators and other 3rd party data providers. If you accept your auto-assessment, any under or overpayment of tax will be processed as normal. If you want to edit your return, you can file your return on eFiling or the SARS MobiApp or alternatively contact us for professional assistance in this regards.