THE RECENT estate duty report from the Davis Tax Committee (DTC) made for interesting reading not exclusively from a tax law or professional perspective, but rather from a personal and constitutional viewpoint, as for the first time in our tax legislation history, a monetary value is placed on the sacred act of marriage.
MULTINATIONAL COMPANIES may find they are simultaneously resident in two countries under the domestic laws of each of the countries in which they have effective management. Modern tax treaties contain tie-breaker rules to determine dual residence in these circumstances. The tiebreaker rule is essentially a test that enables the company to determine residency for tax purposes.
THE TAXATION Laws Amendment Act, No 23 of 2015 (TLAA) contains an amendment to a somewhat odd provision one that has seemingly stood the test of time since the introduction of the Fourth Schedule into the Income Tax Act 58 of 1962. Paragraph 5(2) of the Fourth Schedule, dealing with absolving an employer from liability in respect of employees' tax, has now been amended to provide a more formal approach when compared to its previous version but the amended version is still riddled with discretionary powers.
One of the amendments proposed in the Taxation Laws Amendment Bill (TLAB) relates to the revision of the definition of 'immovable property'. This is significant when considering the potential tax liability of non-resident persons, especially when it comes to CGT.