MJ Minter Inc on 03/31/2020

Tax Measures To Combat The Covid-19 Pandemic

The Minister of Finance has announced the following exceptional tax measures as part of the fiscal package outlined by President Cyril Ramaphosa on 23 March 2020 in his speech on the Escalation of Measures to Combat COVID-19. These measures are over and above the tax proposals made in the 2020 Budget on 26 February 2020. The tax adjustments are made in light of the National State of Disaster and due to the significant and potentially lasting negative impacts on the economy from the spreading of the COVID-19 virus. There is a critical need for government interventions to assist with job retention and assist businesses that may be experiencing significant distress. These measures include:

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MJ Minter Inc on 03/01/2020

SARS and Covid -19

In light of the Covid-19 outbreak SARS has announced a number of operational changes as detailed below.

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MJ Minter Inc on 03/01/2020

Remote Working

Transitioning your office to remote working conditions can be a challenge – in this article, we've rounded up 9 steps to help you make the move as quick and easy as possible.

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MJ Minter Inc on 03/01/2020

Covid-19 and The Economy

Globally, a once-healthy economic growth outlook has been revised down sharply due to the outbreak and spread of Covid-19. This coronavirus will negatively affect global and domestic economic growth through the first half of 2020, and potentially longer depending on steps taken to limit its spread.

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MJ Minter Inc on 03/01/2020

Biz Portal

In his 2020 Budget speech, Minister Mboweni announced the formation of a Biz Portal which would allow one to complete all the necessary registrations for the formation of a business. This facility is now available and is best described as follows:

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MJ Minter Inc on 02/26/2020

Corporate Income Tax

To promote economic growth, government intends to restructure the corporate income tax system over the medium term by broadening the base and reducing the rate. Broadening the base will involve minimising tax incentives, and introducing new interest deduction and assessed loss limitations. Rate reductions will be implemented in a revenue-neutral manner.

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MJ Minter Inc on 02/26/2020

Carbon Pricing and Environmental Taxation

Increasingly, governments and businesses recognise that the world faces a climate crisis, and acknowledge the need for partnerships to limit global warming to below 1.5° C. As the Paris Agreement becomes operational in 2020, signatories will submit revised nationally determined contribution commitments to mitigate climate change. A range of legislation and policies are being developed to meet South Africa’s commitments in this regard.

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MJ Minter Inc on 02/26/2020

2020 Budget Review

“The Aloe Ferox survives and thrives when times are tough. It actually prefers less water. It wins even when it seems the odds are against it. "

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MJ Minter Inc on 01/01/2020

South Africa in the 2020s – an extract from a recent article by Clem Sunter

Just over 32 years ago in 1987, Clem Sunter published a book entitled The World and South Africa in the 1990s . For South Africa, he played the ‘High Road’ scenario where proper negotiations between the real leaders of the major parties would produce a political settlement that allowed the country to return to the world stage. However, he made it clear that in the long run a thriving economy in which everyone participated was a precondition for the country to become a winning nation.

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MJ Minter Inc on 01/01/2020

Tito Mboweni in the Spotlight

Over the last few months, Minister Mboweni has made a number of telling tweets that has caused the ruling party to distance themselves from his tweets and haul him over the coals! However it would appear that the minister is being a realist and his tweets are more like an impassioned plea for all to understand the predicament we are in. An extract from a recent speech by Minister Mboweni, points out the key reforms that are needed to facilitate the following:

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MJ Minter Inc on 01/01/2020

Repo Rate Reduced on Back of Favourable Data

A good start to the new year when the Reserve bank announced a surprise reduction of 25 basis points to the repo rate. Good news for those with borrowings and the forecast is that we should get another cut in the 4th quarter 2020.

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MJ Minter Inc on 01/01/2020

Budget Speech 26th February 2020

South Africa will be holding its breathe at 14h00 Wednesday 26th February 2020 as Minister Mboweni presents his Budget for the 2021 financial year. There literally can only be bad news as the whole country is going to be affected by whatever reforms will be announced, but without these reforms South Africa will undoubtedly fail, so we need to make short to medium term sacrifices. There will be increased taxes, what shape or form is anyone’s guess. But this needs to be accompanied with a reduced Government wage bill and holes plugged in our leaking State-Owned Entities.

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MJ Minter Inc on 12/01/2019

Annual Inflation Continues to Fall

A recent report from STATSA states that annual inflation eased further in November, falling to 3,6% from October’s 3,7%. This is the third successive month of disinflation, which means that the pace of price increases is slowing down.

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MJ Minter Inc on 12/01/2019

2020 – Make or Break for South Africa?

South Africa is a resilient country. It has survived internal strife and looked into deep and dark abysses in the past yet has always come out on top - or at least with positive intent to rebuild on the foundations of our society. But it has been a long time since such negativity has prevailed with the ongoing saga of state capture and failure after failure of State-Owned Entities.

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MJ Minter Inc on 11/01/2019

Stabilising Public Finances

Large fiscal deficits incurred over the years, although providing short-term support to the economy, have not resulted in commensurate long-term economic growth. This has led to sharp increases in the government’s debt-to-GDP ratio, which currently stands at 60.8 per cent, and is expected to rise to 71.3 per cent in 2022/23. The growing proportion of limited public resources spent on interest payments are crowding out spending on social and economic investment.

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MJ Minter Inc on 11/01/2019

Eskom reforms

In February 2019, the president announced the separation of Eskom into three distinct entities: generation, transmission and distribution. The primary objective being to allow each entity to focus on enhancing efficiency, reducing costs and optimising investment on a specific function, rather than trading off efforts amongst all three. In addition, the capital structure will ultimately be amended to end all reliance of Eskom on government support. Functional separation to wholly owned subsidiaries with independent Boards is scheduled to be complete by March 2020, with legal separation of the distribution and generation functions by December 2021.

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MJ Minter Inc on 11/01/2019

Promoting Investment and Economic Growth

Policy certainty and a conducive business environment are critical to support the confidence of businesses and households. A robust monetary policy framework has provided certainty but needs to be complemented with a range of reforms that are within government’s control and do not require significant funding. These would help to raise long-term growth.

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MJ Minter Inc on 11/01/2019

Medium Term Budget Policy Statement 2019

The 2019 MTBPS has been presented by Minister Tito Mboweni. His opening statement was a reference to the Aloe Ferox plant he brought to Parliament when presenting the February 2019 budget.

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