MJ Minter Inc on 14/04/2025

The Institute of Race Relations Report

The Institute of Race Relations (IRR) has recently unveiled a report that underscores the substantial financial burden imposed by Broad-Based Black Economic Empowerment (BEE) premiums on South Africa. The report, titled "Cut VAT & BEE," estimates that the legitimate cost of BEE premiums in public procurement is approximately R17 billion per annum. To put this into perspective, this amount is equivalent to the cost of constructing around 42,000 kilometers of new paved roads, enough to stretch from Cape Town to Beijing and back.

MJ Minter Inc

MJ Minter Inc on 13/03/2025

Understanding the South African Budget Process: From Proposal to Parliamentary Ratification

The South African budget process is a meticulous and continuous cycle that ensures government spending aligns with the country's policy goals and objectives. This process begins with the Budget Speech and culminates in parliamentary ratification, involving several critical steps along the way.

MJ Minter Inc

MJ Minter Inc on 13/03/2025

South Africa Increases Carbon Tax to Combat Climate Change

In a significant move to bolster its climate change mitigation efforts, South Africa has announced an increase in its carbon tax. Effective from January 1, 2025, the carbon tax will rise from R190 to R236 per tonne of carbon dioxide equivalent (tCO2e). Additionally, from April 2, 2025, the carbon fuel levy will increase by 3c/litre to 14c/litre for petrol and 17c/litre for diesel, as mandated by the Carbon Tax Act of 2019.

MJ Minter Inc

MJ Minter Inc on 13/03/2025

South Africa to Increase VAT Rate in 2025

In a significant move to boost revenue, the South African government has announced a two-phase increase in the Value Added Tax (VAT) rate. The first increase of 0.5 percentage points will take effect on 1 May 2025, followed by another 0.5 percentage point increase on 1 April 2026. This decision comes after careful consideration of the potential contributions of various tax instruments, with VAT being identified as an efficient and broad-based source of revenue.

MJ Minter Inc

MJ Minter Inc on 13/03/2025

Review of the 2025 Budget Speech

The 2025 Budget Speech addressed the economic stagnation of the past decade, with GDP growth averaging less than 2%. In 2024, the economy grew by only 0.6%, and medium-term projections estimate an average growth of 1.8%. The speech emphasized the need for faster, inclusive economic growth to meet developmental goals.

MJ Minter Inc

MJ Minter Inc on 03/02/2025

SARS Reports Over 2 Million Tax Directive Applications for Savings Withdrawals

The South African Revenue Service (SARS) has announced a significant milestone in the implementation of the two-pot system, with a total of 2,664,279 applications for tax directives received to date. Of these, 2,403,379 applications have been approved, resulting in a total gross lump sum payout of R 43.42 billion.

MJ Minter Inc

MJ Minter Inc on 03/02/2025

SARS Invites Public Input on 2025 Budget

The South African Revenue Service (SARS) has issued a call for public input on the upcoming 2025 Budget. Finance Minister Enoch Godongwana will deliver the National Budget Speech in February 2025, and the government is seeking suggestions from South Africans on various budget-related topics.

MJ Minter Inc

MJ Minter Inc on 02/12/2024

How to Obtain a Tax Directive from SARS

Obtaining a tax directive from the South African Revenue Service (SARS) is a crucial step for employers, fund administrators, and insurers to ensure the correct deduction of employees' tax from lump sum payments. This process is essential for managing tax liabilities on retirement funds, severance packages, and other lump sum benefits.

MJ Minter Inc

MJ Minter Inc on 02/09/2024

2024 Tax Filing Season Updates

The South African Revenue Service (SARS) has announced key updates for the 2024 tax filing season, which commenced on July 1, 2024. This year, SARS will continue issuing auto-assessments for taxpayers with simpler tax affairs. Taxpayers are advised to check their auto-assessment status via eFiling or the SARS MobiApp, following an SMS or email notification.

MJ Minter Inc

MJ Minter Inc on 02/09/2024

Tax Implications of Withdrawing from Two-Pot Retirement System

Starting from 1 September 2024, individuals planning to withdraw from the savings pot of the Two-Pot Retirement System must be registered for tax. Unregistered individuals must complete their registration before applying to their relevant fund, as unregistered requests will be rejected by SARS.

MJ Minter Inc

MJ Minter Inc on 01/08/2024

Tax incentives to boost renewable energy generation

SARS has introduced a comprehensive draft guide outlining tax incentives to boost renewable energy generation. ​ Taxpayers can benefit from accelerated deductions, enhanced deductions for new assets, and deductions for expenses related to infrastructure construction. ​ These incentives aim to encourage investment in renewable energy projects, support sustainable practices, and drive economic growth in the renewable energy sector. ​

MJ Minter Inc

MJ Minter Inc on 01/08/2024

South African Revenue Service Issues Ruling on Taxable Income Set-Off against assessed losses for Companies

In a recent development, the South African Revenue Service (SARS) has issued a Binding General Ruling (Income Tax) 73 on the 30th of July 2024, shedding light on the meaning of taxable income for the purpose of setting off the balance of an assessed loss by companies. ​ This ruling aims to provide clear guidance on the limitation of set-off for companies under section 20(1)(a)(i) as amended by the Taxation Laws Amendment Act 20 of 2021. ​

MJ Minter Inc

MJ Minter Inc on 01/08/2024

National Treasury Welcomes Signing of Pension Funds Amendment Act

National Treasury expressed its satisfaction as the President signed the Pension Funds Amendment Act (31 of 2024) into law, marking the final step in implementing the two-pot system set to begin on 1 September 2024. ​ This act introduces crucial changes to various pension-related laws, including the Pension Funds Act of 1956 and the Government Employees Pension Law of 1996, essential for retirement funds, including public sector funds, to adopt the two-pot reform. ​

MJ Minter Inc

MJ Minter Inc on 01/07/2024

SARS Announces Auto-Assessment and Digital Platforms for a Seamless Filing Season

The South African Revenue Service (SARS) has recently made an important announcement regarding the upcoming Filing Season. ​ In line with their commitment to making the process easier and more convenient for taxpayers, SARS will be implementing auto-assessment for a larger pool of taxpayers this year. ​ Additionally, they have introduced various digital platforms to facilitate seamless interactions with taxpayers. Here is an overview of the announcement and highlights the key points for taxpayers to take note of.

MJ Minter Inc

MJ Minter Inc on 10/06/2024

SARS introduces automated process for Trust Dispute Resolutions

In April 2024, an automated process for Trust taxpayers was introduced on eFiling to electronically submit documentation to lodge a dispute via a fully guided process.

MJ Minter Inc

MJ Minter Inc on 08/04/2024

Tax Chronology of South Africa: 1979–2024 

The Tax Chronology of South Africa: 1979–2024 provides a comprehensive overview of the current and historical rates for various taxes, duties, and levies collected by the South African Revenue Service (SARS). This publication covers the period from 1979 to 2024 and includes details on tax rates, duties, and levies.

MJ Minter Inc

MJ Minter Inc on 08/04/2024

Employer Annual Declarations (EMP501): 1 April to 31 May 2024

As an employer, it’s essential to stay informed about your tax obligations. The Employer Annual Declaration period is a crucial time when you need to submit accurate information to the South African Revenue Service (SARS). Let’s dive into the details:

MJ Minter Inc

MJ Minter Inc on 21/02/2024

2024/25 Budget Review

The Minister of Finance, Mr. Enoch Godongwana, tabled his budget review on 21st February 2024. While tax revenue performed well in 2021/22 and 2022/23 due to high commodity prices, revenue for 2023/24 is now expected to fall short by R56.1 billion. Government has proposed tax increases totalling R15 billion in 2024/25 to alleviate immediate fiscal pressures, while limiting the impact on economic growth. The following were the key tax proposals:

MJ Minter Inc

MJ Minter Inc on 12/02/2024

Upcoming Budget Speech 2024: Tax Implications and Economic Outlook

Introduction

MJ Minter Inc

MJ Minter Inc on 12/02/2024

Biodiversity Tax Incentives for Protected Areas

Biodiversity Tax Incentives for Protected Areas

MJ Minter Inc

MJ Minter Inc on 15/01/2024

Trust Income Tax Returns

SARS’ aim is to record all beneficial owners of registered Trusts in order to comply with the Financial Action Task Force (FATF) requirements. In this regard, certain information must be submitted via e-Filing. These documents may include, but are not necessarily limited to, the following:

MJ Minter Inc

MJ Minter Inc on 15/01/2024

Budget 2024/2025 Scheduled for 28th February 2024

The minister of finance will table his budget proposals on February 28th, 2024.Some of the key predictions on the back of an election year are as follows:

MJ Minter Inc

MJ Minter Inc on 12/12/2023

VAT enhancements for estimated assessments

VAT enhancements for estimated assessments are changes to the VAT Act and the Tax Administration Act that affect how SARS can issue estimated assessments for VAT vendors who do not submit their returns or supporting documents on time. These changes aim to improve compliance and reduce tax evasion.

MJ Minter Inc

MJ Minter Inc on 12/12/2023

Beneficial Ownership

CIPC (Companies and Intellectual Property Commission) is an agency that regulates the registration and compliance of companies and intellectual property. One of its functions is to keep a register of beneficial ownership (BO) for companies and close corporations.

MJ Minter Inc