Handling Payroll for Freelance Workers in South Africa
Managing payroll for freelance workers involves a few key points, including understanding legal requirements, setting clear payment structures, and using the right tools. Here’s a practical overview to help businesses handle freelance payroll effectively. Legal Obligations Freelancers are generally considered independent contractors, but businesses still have some legal responsibilities. 1. Tax Obligations Freelancers are responsible […]
Long-Term Goals, or Short-Term Gains?
More than a million applications have already been lodged with the South African Revenue Service (SARS) to pull funds out of their savings. Given that this amounts to R21.4 billion, that’s a frightening amount of money for a country that doesn’t have a savings culture. By the time of this article’s publication, this figure has […]
Navigating the Complex World of Taxes: A Guide for Businesses and Individuals
Taxation is a part of everyday life, whether you’re running a business or managing personal finances. But the complexities of tax regulations can sometimes be challenging to understand. Whether you’re trying to keep your business compliant with the law or looking for ways to minimise personal tax burdens, a solid understanding of taxes is essential. […]
Claiming Foreign Tax Credits
Back in the day when I was still running my tax practice full-time, I was called upon by a client to assist with the tax and accounting treatment of taxes withheld by a foreign country from income earned in that country—in this particular case, Botswana. The client’s query centred on the following two issues: The […]
Expenses Must Be Intended to Produce Taxable Income
To successfully deduct an expense, there must be a link to earning taxable income. Section 11(a) of the Income Tax Act, the so-called ‘general deduction formula’, seems to have produced more court cases than virtually any other Section of the Act. And each time, the courts tell us the same thing: In order for you […]
Tax and Retrenchment: A Potential Minefield
Retrenchment can be extremely taxing … in more ways than one! Being retrenched is a traumatic experience regardless of your place on the corporate totem pole. However, the stakes tend to be higher for more senior employees—not only in terms of the larger sums involved when it comes to separation packages, but also the significant […]
Understanding the Two-Pot Retirement System: Questions and Answers
As of 1 September 2024, significant changes have been introduced to the retirement landscape in South Africa with the implementation of the two-pot retirement system. This system allows members of pension funds, provident funds, and related schemes to access a portion of their savings while still working. With this shift, it is essential to understand […]
Cryptocurrency Trading in South Africa: Exchange Controls and Emerging Challenges
The untold story of Exchange Control Regulations. Cryptocurrency traders in South Africa have focused on understanding the tax implications of their transactions relative to the Income Tax Act. This has proved challenging, as SARS has merely stated that “the normal rules apply” without providing authoritative guidance concerning the various cryptocurrency-related transactions, and when profits are […]
Meet ElzaLize Steenkamp: Balancing Professionalism and Personal Touch
At Secundes, we are proud to have ElzaLize Steenkamp as one of our directors. With over a decade of experience in accounting and consultancy, ElzaLize plays a vital role in delivering tailored financial solutions to our clients. She began her journey with a B.Com Accounting degree from the University of Johannesburg. After a brief stint […]
Understanding the Foreign Services Income Exemption: The Requirement for Service Rendering
Many articles have been written about the application of the foreign income exemption provided for under Section 10(1)(o)(ii) of the Income Tax Act. This section provides for an exemption from South African tax from specific employment income earned while rendering services outside South Africa. The section limits such income qualifying for the exemption to any […]