of confidence in the management competency of state owned
enterprises has lead to the withdrawal of funding by major
overseas lenders. What message is this sending to offshore
Duty – one calendar month to the day after the incorporation
of Access to Information Act manual – 31
December 2021 extended
Voluntary Disclosure Programme
– 1 October 2016 to 31 March 2017
by non-provisional taxpayers at a SARS office – 25 November 2016
by non-provisional taxpayers – 25 November 2016
taxpayers by Efiling – 31 January 2017
clients should note that unless we receive all the relevant
data and documentation at least fourteen days before the
applicable submission deadline we cannot be held responsible for
any punitive action taken against them by SARS.
has a feature that automatically assumes what you mean to type
based on previously typed text. For example, say you have already
typed the words “printing and stationery” and now you wish you
to type “printing ink”, Excel will automatically correct your
input to read “printing and stationery”. You can undo the
auto-correct by pressing Ctrl+Z during the typing process. E.g.,
as soon as you type “printing”, “printing and stationery”
appears. Move the cursor to the end
of the first word and press Ctrl+Z. “and stationery”
will disappear and you can type a space and the word “ink”.
recent years, the government policy regarding retirement funds has
focused on ensuring that these funds are preserved for
their intended purpose, i.e., to provide funds to finance the
members' retirement years and thus avoid the retiree’s
dependence on the state.
Draft Taxation Laws Amendment Bill contains provisions that are
designed to continue this process and are designed to prevent
certain individuals from withdrawing their retirement annuity
funds prematurely. Previously, South Africans who have worked
abroad for a number of year were considered to be non-resident
without the necessity of formally emigrating. This enabled them to
withdraw their retirement funds.
intention of the Bill is to permit such withdrawal only where the
member formally emigrates and only after such emigration is
approved by the South African Reserve Bank. This amendment will
come into effect retrospectively from March 2016.
Voluntary Disclosure Programme
a draft guide is already available regarding the procedures
required to apply for this relief, the extent of the relief and
the procedures are none to clear. Clients who feel or are aware
that they have contravened either the various tax laws or exchange
control regulations with regard to offshore assets are urged to
monitor the SARS website for further announcements.
readers that are relying on their tax refunds to finance special
needs had better be a little patient. SARS has had a high
incidence of refunds being fraudulently misappropriated. To combat
this, SARS has instigated a procedure that effectively stops large
refunds. This is happening despite supporting documents being
submitted and a letter signifying the end of investigations having
been issued. Unfortunately, no notification of the stoppage is
sent to the affected taxpayer or his/her practitioner. It is up to
the taxpayer/tax practitioner to monitor the situation by regular
calls to the call centre. If a client has been affected, the only
solution is a personal appearance by the taxpayer at a
SARS office together with a stamped original recent bank
statements , proof of address and a valid original identity
document. The following original documents must also be presented:
and IT3(a) certificates
increased fraud is the apparent result of the purging by the
commissioner of investigators, who previously made a major
contribution to combating fraud, in an effort to remove possible
allies of a former commissioner.
Intelligence Centre Act (FICA)
amendments and possible future amendments to the FICA are set to
make doing business more onerous. This is because monitoring laws
internationally have undergone major changes in order to combat
organised crime and, in particular, the financing of terrorism.
penalties are in force to discourage persons from failing to
report suspect transactions and activities. For that reason, it is
essential that a risk analysis process is in place to ensure early
detection of possible high risk persons or businesses. At present,
this is compulsory for accountable institutions. Among others,
attorneys, estates agents and bankers are among those required to
have a risk analysis system in place. Motor dealers and dealers in
Kruger Rand and jewelers who deal in articles that contain that
coin are classified as “reportable institutions”. They, too,
are subjected to the reporting provisions. Consideration is being
given to widening the net still further.
of the key aspects of this process is the conducting of a due
diligence exercise on all new and perspective clients Accountable
institutions are required to maintain due diligence records.
Similarly, a periodic review of this process in respect of all
clients is necessary. This is particularly true where known
infringements of other laws by a client or factors leading to an
uneasy feeling about that client occur. Extra care is to be
applied to persons listed as “a prominent influential person”.
Amongst, these are the State President and persons of similar
stature together with their family members and known connected
persons. Additionally, businesses should be careful to beware of
persons who seek to be anonymous or to maintain a high degree of
secrecy in relation to the source of their funds.
Act imposes many obligations on accountable and reportable
institutions. These obligations include the need to retain certain
records applicable to the establishment of a business relationship
for at least five years. Therefore, it essential that affected
persons become thoroughly familiar with the legislation and
reporting process is designed to provide anonymity for the
reporter. However, given that systems may be prone to failure, it
will be wise to be very careful of the veracity of the report and
the confidentiality of the submission.
are two acts that control this. The one requires a monthly payment
of contributions collected from employees and paying this together
with an employer’s contribution to SARS against an EMP201.
other, and, from the employees’ perspective, equally important,
is the act that controls the granting of benefits to employees.
There has recently been policing of the submission of returns that
are required in terms of this Act. The only return to be submitted
monthly is the UI19.
forms is a list of employees, their identity number, date of
employment and discharge and present earnings. Previously, the
form needed to be submitted upon a change to any of this data
taking place, However, this is now required on a monthly basis.
Employers are invited to contact us should they require assistance
in this regard.
Prevention and Combating of Corrupt Activities Act
terms of this Act, a corrupt activity (CA) must be reported to the
police official in the Directorate for Priority Crime. A CA is
defined as the offence of theft, fraud, extortion, forging a
document and using it for fraudulent purposes, involving an amount
in excess of R 100 000. Among others the persons charged with
reporting a CA are:
manager, secretary or director of a company
member of a Close Corporation
manager of any bank or other financial institution
other person responsible for the overall management and control of
partner in a partnership.
all doom and gloom for SA economy. According to SA Statistics, the
economy grew by 3.35 in the second quarter of 2016. This
represented an expansion of .5% over the predicted
estimate and a marked improvement over the first quarter
when the economy contracted by 1.2%. The manufacturing sector, at
8.15%, showed the best growth of all sectors and made a
significant contribution to the overall figures.
on the revised growth figures, the Reserve Bank governor stated
that he anticipated slow growth. In the meantime, two credit
rating agencies warned that further cuts in the country's rating
were likely to be influenced by policy uncertainty and political
instability. Students need to be aware of the implications of this
and that their militant actions are eroding the educational
capability of some of the country's finest tertiary institutions.
The country’s ability to generate the income necessary to
provide, at any price, the education they demand is also
prejudiced as is the funding of every other welfare activity that
they expect the government is to provide.
problem with socialism is that you eventually run out of other
- Margaret Thatcher