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
Changes in rates and monetary thresholds to the personal income tax tables
Increases of the excise duties on alcohol and tobacco
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
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
Please email your comments to: riette.engels-vanzyl@lawtonsafrica.com
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