• Lawtons Africa

Three draft tax amendment bills available for public comment

Authors: Riëtte Engels-van Zyl– Director



National Treasury and SARS have published three draft bills for public comment:

  • The 2021 Draft Rates and Monetary Amounts and Amendment of Revenue Laws Bill

  • The 2021 Draft Taxation Laws Amendment Bill

  • The 2021 Draft Tax Administration Laws Amendment Bill


Our tax professionals are presently studying these draft bills to consider the implications for our clients’ businesses.


We encourage you to also read these documents and let us know if you have any concerns. Below a list of the key proposals of each bill with links to the relevant documents.


Please forward your comments to us by Monday, 23 August 2021. We will compile your concerns and our findings and submit these to National Treasury. Consultations on the draft bills will then take place, whereafter the bills may be revised before being tabled in parliament later this year.


Key proposals


The 2021 Draft Rates and Monetary Amounts and Amendment of Revenue Laws Bill

  • Changes in rates and monetary thresholds to the personal income tax tables

  • Increases of the excise duties on alcohol and tobacco

2021 Draft Taxation Laws Amendment Bill

2021 Draft Explanatory Memorandum

  • Strengthening the rules dealing with limitation of interest deductions in respect of debt owed to persons not subject to tax

  • Restricting the set-off of the balance of assessed losses in determining taxable income

  • Refining the time frames of compliance requirements of the industrial policy projects tax incentive

  • Curbing the abuse of the Employment Tax Incentive

  • Applying tax on retirement fund interest when an individual ceases to be a tax resident

  • Strengthening anti-avoidance rules in respect of loans between trusts

  • Refinements to the corporate reorganisation rules

  • Clarifying the scope and definition of carbon sequestration


2021 Draft Tax Administration Laws Amendment Bill

2021 Draft Memorandum on the Objects of the Tax Administration Laws Amendment Bill

  • Administrative non-compliance penalties based on estimates for non-submission of six-monthly employees’ tax returns

  • Removal of double-penalty for the same incidence of non-compliance relating to employees’ tax

  • Expanding the purposes for which air cargo may be removed to degrouping depots

  • Amendments related to changes in the accreditation system

  • Increasing the caps for refunds and underpayments of duties


Draft Explanatory Notes on Emergency Tax Measures in response to the continuing Covid-19 pandemic and recent unrest in the country


Please email your comments to: riette.engels-vanzyl@lawtonsafrica.com


Lawtons Africa is a South African law firm. With roots that grew out of seeds sown in down-town Johannesburg in 1892, our history features various changes and different names. Our team of lawyers, including directors, consultants, associates and candidate attorneys is highly qualified, market-recognised and skilled. For further information, visit www.lawtonsafrica.com

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