How to write a budget speech south

Economists predict that we may see an increase in VAT, but increases in personal and corporation tax may also become a reality. Only the supply of brown bread and whole wheat brown bread will be zero rated.

Budget Speech 2018

It is proposed that collective investment schemes will be excluded from applying section 9D to investments made in foreign companies.

A tyre levy will be implemented at a rate of R2. Certain once-off amounts that are excluded from the penalty for under paying provisional tax will be included in future. Here, Pieter Bensch, executive vice president for Africa and the Middle East at Sage, lays out some of the measures small business owners would welcome.

It was announced by former President Jacob Zuma last year, but no details of where the money is going to come from has been revealed yet. The inclusion rate for capital gains will increase from As a result, there is currently legal uncertainty as to whether the members of the joint venture may be held jointly and severally liable for the VAT debts of the joint venture.

Where the vendor may not issue a credit note, it will not be able to rectify the incorrect information. National Treasury has indicated that there may be a loophole which results in a double VAT deduction as in practice certain vendors such as collection agents or banks who buy the book debt in terms of the abovementioned arrangement, claim a further VAT deduction if they write off all or part of this debt in the future.

Motor vehicle emissions tax will be increased from 1 April for passenger vehicles, from R90 to R for every gram of emissions per kilometre over g, and for double cabs, from R to R for every gram of emissions per kilometre in excess of g.

How is the South African rand performing ahead of finmin Mboweni’s mini budget speech?

The provisions of the VAT Act relating to the application of an increase in the tax rate will apply to transactions where the applicable tax rates overlap. An increase in Capital Gains Tax and personal income tax rates for upper-income earners are expected. As such it is proposed that the VAT Act be amended.

The much anticipated increase is the first increase in the VAT rate since Certain schemes including, for example, the formation of trust-holding mechanisms with preference shares as underlying assets are to be the subject of additional anti-avoidance measures.

As a result, there is currently legal uncertainty as to whether the members of the joint venture may be held jointly and severally liable for the VAT debts of the joint venture. Although the branches or divisions are regarded as separate VAT enterprises they still form part of one legal entity.

The supply of rye or low GI bread will not be zero rated. Further technical refinements to provide clarity have been proposed and the requirement for provident fund members to annuitise has been postponed to 1 March This could include educational efforts by institutions such as SARS, which could benefit from encouraging small businesses to adopt digital accounting and payroll solutions versus sticking with old and mundane ways.

Unlike the State of the Nation address, which was postponed, the budget speech is unlikely to be affected by any political wheeling and dealing that might occur before then. The difference between excise duty on natural and sparkling wine will be maintained by pegging the sparkling wine excise rate at 3.

The proposed amendments will result in it no longer being an offence for a vendor to re-issue the tax invoice with the correct information, the proviso being that the vendor maintains a proper audit trail to trace the initially issued document, the manner of cancellation and the reissued invoice.

Although the branches or divisions are regarded as separate VAT enterprises they still form part of one legal entity. Exceptions to the rule that directives must be sought for all employment lump sums will be removed. Although the Minister made reference to measures to strengthen estate duty and donations tax, no further details are provided in the budget review other than those mentioned above.

The proposed amendments to the VAT Act will provide certainty in this regard. Further technical corrections will be made in relation to the vested rights provisions. Government should rather look for ways to increase revenues by promoting economic growth; if a VAT increase is unavoidable, it should be targeted at luxury goods and discretionary spending than at day-to-day essentials.

As things stand, it is Malusi Gigaba who will deliver the speech, although, rumours of a cabinet reshuffle are afoot. Joint Ventures Extension of VAT Liability to Members The last decade has seen an increase in the joint venture model being used by businesses to collaborate on various business projects.

As this budget speech has received an unusual amount of interest, we have set out the tax proposals in more detail than usual, although this summary is not intended to be comprehensive.VAT Changes from the Budget Speech February 22, Nyasha Musviba.

Tag: Budget Speech 2018

Authors: Seelan Muthayan and Ayanda Masina (BDO South Africa). National Treasury brought electronic services provided by foreign businesses/ non-residents to South African residents into the South African VAT net. claim a further VAT deduction if they write. Gigaba's Mid Term Budget Speech couldn't avoid the elephant in the room, but neither did it do anything to clear it out the way Malusi Gigaba’s Mid-Term Budget Speech sees rand take a tumble by.

Budget Speech Honourable speaker It is my privilege to introduce the third budget of President Zuma’s administration. Mister President, you have given us a clear and historic challenge to “write a new.

Budget Speech 2018

More South Africans are now dying from NCDs than HIV, according to the SA Medical Research Council’s National Burden of Disease Study. “NCDs have. Open Document. Below is an essay on "South Africa Budget Speach" from Anti Essays, your source for research papers, essays, and term paper examples.

Budget Speech by the Minister of Finance - February Budget Tax Guide for (For the year of assessment - 1 March - 28 February ) Please note: A tax pocket guide can be obtained from your nearest SARS branch. For the People's Tax Guides forvisit the Treasury website.

2018 National Budget speech: When is it and what to expect Download
How to write a budget speech south
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