Tax Breaks Newsletter - Volume 2006, Issue 242, 2006
Volume 2006, Issue 242, 2006
Source: Tax Breaks Newsletter 2006, pp 1 –2 (2006)More Less
Extracted from text ... BUDGET 2006 Trevor concentrates on cuts for individuals By KATHY THERSBY ANOTHER crowd-pleasing Budget delivered last month by Finance Minister Trevor Manuel had the press applauding the minister for his generosity in cutting taxes for individuals. What they didn't take into account was the effect that changes announced in last year's Budget speech, but which only come into operation on 1 March 2006, to the tax deductibility of medical aid contributions and travelling expenses, will have on middle- and higher- income earners. The upshot of these changes on affected taxpayers will make the minister's cuts look much less impressive. ..
Source: Tax Breaks Newsletter 2006, pp 2 –5 (2006)More Less
Extracted from text ... 2 March 2006 Moneyweb's TAX BREAKS MANUEL'S 2006 TAX CHANGES INDIVIDUALS - NATURAL PERSONS (over 65) Taxable Nett tax due Net tax due Tax savings Monthly tax % change income 28/02/2007 28/02/2006 for the year savings (year on year) R R R R R 65 000 NIL 900 900 75.00 100.0 75 000 1 800 2 700 900 75.00 33.3 100 000 6 300 8 600 2 300 191.67 26.7 150 000 18 800 22 100 3 300 275.00 14.9 200 000 33 300 38 100 4 800 400.00 12.6 250 000 49 800 56 200 6 400 533.33 ..
Source: Tax Breaks Newsletter 2006, pp 5 –6 (2006)More Less
Extracted from text ... Moneyweb's TAX BREAKS March 2006 5 FUTURE TAX CHANGES While companies didn't receive any tax cuts or startling breaks, there are indications that corporate tax, including STC, is being reviewed by SARS and National Treasury, say Werksmans Attorneys' Doelie Lessing, Paul Ferreira and Andrew Wellsted in the company's Tax Werks. What follows is a list of what they term "proposals to plug loopholes, fill gaps, counter abuses and address anomalies, inconsistencies, over zealousness and unfairness in the tax legislation". INCOME TAX It is proposed to adjust the tax rules for public benefit organisations, so as to refine the list ..
Source: Tax Breaks Newsletter 2006, pp 6 –7 (2006)More Less
Extracted from text ... BUDGET 2006 6 March 2006 Moneyweb's TAX BREAKS KMPG highlights the most pertinent Value-Added Tax proposals made in the 2006 National Budget Review: SMALL BUSINESSES AND FARMERS The VAT registration threshold for small farmers and small businesses will increase from R1 million to R1.2 million for tax periods on or after 1 July 2006. This will improve the economic environment for small business. The Budget's VAT changes By KATHY THERSBY ZERO-RATING OF MUNICIPAL PROPERTY RATES Municipal property rates will be zero rated with effect 1 July 2006. This would result in municipalities being able to unlock input tax incurred ..
Source: Tax Breaks Newsletter 2006, pp 7 –8 (2006)More Less
Extracted from text ... March 2006 7 BUDGET 2006 International tax and exchange control proposals By KATHY THERSBY KPMG's International Tax Mail sets out the most important of the Budget's international corporate tax and exchange control proposals: INTERNATIONAL TAX CONTROLLED FOREIGN COMPANY PROVISIONS The core philosophy of CFC taxation introduced in 1997 and developed since, will remain intact. The following issues have been identified as being anomalous and may be addressed in upcoming legislation: Treatment of certain CFC mobile businesses as qualifying business establishments. Treatment of royalties that are central to core active CFC business operations. Offshore business operations that ..