As of April 1st 2018, VAT increased from 14% to 15% bringing with it the likelihood of a major administration headache for you and your business. The degree to which you will be affected will depend on whether you are a VAT vendor or not. What is a VAT vendor? You are a VAT [...]
Finance Minister Malusi Gigaba delivered the budget speech today that has been described as responsible and balanced under the current circumstances and likely to put South Africa in a healthier fiscal position. Ratings agencies are also looking at it favorably however the budget isn’t without its surprises, namely the hike in VAT for the [...]
As an employer, you have a tax obligation to deduct employee’s tax in the form of PAYE (Pay as you Earn) from any remuneration paid to employees and settle this amount with SARS on a monthly basis. In this blog article, we will focus on the steps you will need to follow to calculate [...]
An Employee's remuneration is subject to monthly deductions in the form of PAYE. PAYE Tables for the correct tax year should be referenced to calculate an employee's monthly tax liability. Additional deductions, rebates and tax thresholds should all be considered when calculating the final PAYE amount. These are listed below for your reference and [...]
Important: As of 1st April 2018, VAT is now at 15% Most of us know that VAT stands for Value Added Tax and is currently levied at the standard rate of 14% in South Africa, but what exactly is this system and why is it in place? These are some of the questions we [...]
In our previous blog article titled ‘Retirement funds and tax’, we looked at tax implications while saving for retirement and the recent changes in legislation that allow you to save up to 27.5% of your taxable income when making retirement contributions. Retirement structure is based on three legs, namely exempt, exempt, and taxed. While [...]
Retirement planning is a long term commitment and for most of us, it entails a consistent monthly payment until you reach retirement age. Whether you are self-employed and contribute directly, or your employer is submitting payments on your behalf, these payments become part of life - or perceived as another expense at month-end - [...]
Thousands of South Africans leave the country each year to earn a better wage, enticed by the favorable remuneration packages being offered. Low tax rates or tax-free jurisdictions such as Dubai in the Middle East are strong magnets for South Africans where despite harsh conditions, long working hours and separation from their families, they [...]
Shareholders brace yourself, the dividend tax rate just jumped up from 15% to 20% as of February 22nd, 2017. The reason given by government was to reduce the difference between the combined statutory tax rate on dividends and the top marginal personal income tax rate. Does Dividend Tax apply to me? Dividend Tax is [...]
After this year's budget, most tax brackets saw their ceilings raised slightly while the most significant change was the introduction of a new tax bracket for the wealthy. Income Tax Calculators The tax brackets below are key to calculating your taxable income and are what online tax calculators use to provide you [...]
With South Africa experiencing low economic growth, high unemployment, slow progress in education and uneven income growth, it was only expected that our finance minister Pravin Gordhan would need to make tough decisions in his 2017 budget. While many of these tougher measures span the full scope of the budget, we will be purely [...]
In this article we will look at one of the lesser known taxes called Securities Transfer Tax, which is usually synonymous with investment. If you have ever been issued a security, then you may have likely been charged Securities Transfer Tax. For those of you that may be unfamiliar with what a security is, [...]
