Newsletters

  • January 2022 | Interest Rate Hikes: How to Buffer Your Business in 2022 and Beyond

    01 January 2022
    The SARB's first interest rate hike in November 2021, following almost two years of record low interest rates, signaled a change in the interest rate cycle earlier than many experts had expected, with further increases planned in each quarter of 2022, 2023 and 2024. Rising interest rates have a significant impact on the economy, and certainly on businesses across sectors, impacting cash flow, the cost of and access to credit, as well as the businesses’ customers and their spending patter...
  • December 2021 | 'Tis the Season for Giving but Beware the Taxman!

    01 December 2021
    Many companies in South Africa are generous givers, even during these trying COVID-19 times. During the annual festive holiday season giving to staff, clients and suppliers, as well as to charitable organisations, is a widespread practice that aims to convey appreciation and build relationships.  Whether you are thinking of annual bonuses for employees; Christmas parties for suppliers; or corporate gifts for your top clients, there are tax implications that should be considered – fr...
  • November 2021 | SARS eFiling Identity Theft

    01 November 2021
    It has been communicated to us over the last few weeks that there appears to be an increasing incidence of cases where certain individuals are defrauding the South African Revenue Services (SARS). The fraud involves using taxpayer eFiling profiles to create fictitious refunds or divert actual refunds. The former is done by submitting fictitious returns on random taxpayers’ profiles and changing relevant banking details, resulting in refunds which are paid into bank accounts of those per...
  • October 2021 | Letter of Demand from SARS? Handle With Care!

    01 October 2021
    As SARS improves its abilities to collect taxes from businesses, more companies have found themselves on the receiving end of a SARS letter of demand. Receiving such a letter of demand is often an intimidating surprise for business owners and managers, and can cause panic and stress, even among businesses that would consider their tax responsibilities to be up-to-date and compliant.  Whether or not the letter of demand is real, correct or accurate, as a business owner you are well advised...
  • September 2021 | Emergency Tax Relief: Is Your Business Eligible and What Should You Consider?

    01 September 2021
    In just a few days, on 7 September, employees’ taxes for August 2021 are due for payment to SARS. This is the first opportunity for companies to claim the emergency tax relief measures recently introduced by National Treasury to assist businesses with their cash flow and rebuilding over the next few months.  While for many companies this may be a crucial lifeline as they fight for survival after more than 18 months of lockdowns and weeks of riots and looting, it is not a decision to...
  • August 2021 | Home Office Expenses: To Claim or Not to Claim?

    01 August 2021
    ‘Working from home’ again became a government directive at the end of June, as the third wave of Covid-19 swept across the country and an adjusted Alert Level 4 lockdown was imposed on South Africans. It again brings to the fore the question of how to deal with the expenses of setting up and maintaining home offices, which many employees are now incurring either because they are working from home by choice, or because they are compelled by government to do so unless it is ‘a...
  • July 2021 | How 67 Minutes on Mandela Day Can Change Our World and Benefit Your Business

    01 July 2021
    On 18 July every year, Nelson Mandela International Day is observed worldwide as companies, organisations and individuals join in a global movement to honour our former president’s life’s work and to change the world for the better. It is a great opportunity for companies and individuals to ask: “What can we do to make the world better?” Discover great tips for ensuring your company makes an impactful contribution, get inspired with our extensive list of ideas and find...
  • June 2021 | Got Cryptocurrency? Here’s How Much SARS Wants…

    01 June 2021
    Cryptocurrencies are not new, but recent developments, including the massive gains they experienced since last year, have placed them under the spotlight. South Africans’ notable interest in them, and SARS’ renewed focus on the wealthy’s undeclared assets, together with its improved capabilities to track taxpayers’ transactions, suggest SARS is intentional about tracking these activities and assets. It is not surprising then that SARS has turned its attention to crypt...
  • May 2021 | Uncertain, Costly Power Supply: How to Mitigate Your Risk

    01 May 2021
    As Eskom’s customers face their first electricity bills after the latest tariff increase of 15.06%, effective from 1 April, it is an opportune time to review reliance on an increasingly costly and ever-less reliable power supply and to consider alternatives that will support a difficult recovery from 2020: a year of not only lockdowns but also 859 hours of load shedding.   With Eskom itself expecting another five years of load shedding and further tariff increases on the card...
  • April 2021 | Selected for SARS Verification or Audit? Here’s What to Expect… and What to Do

    01 April 2021
    Most of us – even the most dutiful taxpayers - know the cold dread that accompanies receiving SARS correspondence, and it is never colder than when the notification states that you or your company have been selected for SARS verification or audit. Given some of the recent developments in terms of SARS’ powers and increased scrutiny of taxpayers, you will do well to remain prepared for the ever-greater possibility of being selected.  In this article, we take a look at what th...
  • March 2021 | Budget 2021: What It Means to You

    01 March 2021
    Faced with apprehension, the first Budget Speech of the “new normal’ was generally well-received, with the Rand holding steady, markets reacting positively, and South Africans breathing a collective sigh of short-term relief.  A surprisingly optimistic 2021 Budget provided funding for COVID-19 responses without hiking direct taxes, and previously announced tax increase proposals were withdrawn.  As Finance Minister Tito Mboweni called it, the 2021 Budget fiscal frame...
  • February 2021 | Provisional Income Tax Due 26 February: Do’s and Don’ts for Companies

    01 February 2021
    By the end of this month, the second provisional income tax payments for companies are due for a financial year that certainly ranks among the most difficult in recent memory – a year in which many business owners realised, as Thomas Dewar once put it, that paying income tax is in fact better than being unable to generate sufficient income to be liable for tax.   As companies face intensified scrutiny and more punitive measures from SARS in 2021, we take a look at the issues ...
  • January 2021 | Companies: How to Manage Your Greater Tax Risk in 2021

    01 January 2021
    South African companies are exposed to a significant tax risk. Companies are liable for a range of direct taxes, indirect taxes and employees’ taxes that are continuously subject to legislative changes and administrative improvements by SARS and National Treasury. This means not only great complexity and high cost in terms of compliance, but also high tax liabilities that could total 40% of turnover and more. In addition, tax compliance is increasingly becoming a corporate governance and ...
  • December 2020 | A Remote Working Danger: Independent Contractor or Employee?

    01 December 2020
    The move to a much greater level of remote working this year has reinforced the need for small businesses to ensure that they classify the people that work for them correctly. One of the biggest challenges for small businesses is to ensure that independent contractors, especially sole proprietors, do not drift into a position where the South African Revenue Service or the Department of Labour would classify such a person as an employee. The failure by a small company to manage the relatio...
  • November 2020 | Leaving a Legacy: Ensure Your Business Survival with a Succession Plan

    01 November 2020
    It is a sobering statistic that 70% of family businesses do not survive into the second generation - a significant loss considering the time, effort and investment required to start, manage, and grow a business in South Africa. Ensuring your business can survive beyond the loss of an owner, a partner or another key individual requires a well-structured succession plan that unlocks business value not only in the long term but also in the immediate future. Covid-19 contin...
  • October 2020 | Employee Health and Wellbeing: A Strategic Priority for COVID-19 and Beyond

    01 October 2020
    Employee health and wellbeing (HWB) is vital for a company to sustain itself during the lockdown. But making your employees’ HWB a strategic priority creates a competitive edge that will be crucial for success now and beyond COVID-19. Employee HWB not only delivers significant benefits, it also creates an opportunity to play a leadership role in our communities and in our country. In this article, you will find a list of key focus areas revealed by recent research t...
  • September 2020 | How Chaos Sparks Business Innovation

    01 September 2020
    The greatest innovation is created in times of chaos, when opportunity abounds. Many successful business stories began during times of recession, depression, chaos and crisis, such as Uber, Airbnb, WhatsApp, Slack, Pinterest, Square, Disney, Sony and iPod.  In the midst of the unprecedented chaos created by COVID-19 on a global scale, we have witnessed great and inspiring innovation, as local and global businesses innovate ways to stay relevant in industries completely disrupted, if not...
  • August 2020 | Employees Working from Home: What Tax Deductions Can You Claim?

    01 August 2020
    Working from home is part of our “new normal” and home offices are predicted to remain a permanent feature of many employment relationships in the future. Both employees and their employers should be familiar with the tax angles, in particular the opportunity to claim tax deductions. When and how do you qualify for deductions? What expenses can you deduct? We discuss the various ins and outs with a simple practical example to illustrate. If you own your own home, read our tail...
  • July 2020 | Tax Season 2020 will be Easier Thanks to SARS’ New Approach!

    01 July 2020
    SARS has announced changes to this year’s tax filing season, driven partly by its ongoing innovation program and partly by the Covid-19 pandemic. Whilst as author Margaret Mitchell pointed out there never is a convenient time for “death, taxes and childbirth”, SARS’ new changes offer time-saving benefits to taxpayers, and it is important to understand how they will impact on us in practice. To that end we set out how Tax Season 2020 is now split into three time frames...
  • June 2020 | Technology, COVID-19 and How the World Will Change

    01 June 2020
    We must all adapt to the rapidly-changing world thrown at us by the pandemic. We have no alternative - both our businesses and our personal lives are already deeply dissimilar to what they were only a few short months ago, and there is no sign that things will start stabilising any time soon. What part is technology playing in this process, what part will it play in the future, and will it be used as a weapon or as a helpful tool? What will our post-pandemic world look like? Who better to as...