Public benefit organization (PBO) guide
SARS has published issue 3 of the guide to tax exemptions for Public Benefit Organisations (PBOs)
Alert 11
In this week's alert:
IN 69: Game farming (Issue 3)
SARS has released interpretation note 69 (issue 3) providing guidance on the tax implications relating to game farming, with its primary focus being the provisions applicable to livestock
IN 79: Produce held by nursery operators (Issue 3)
SARS has released interpretation note 79 (issue 3) providing guidance on the valuation of produce on-hand at the end of each year of assessment.
SARS – Tax Practitioner Connect Newsletter
The latest Tax Practitioner newsletter (issue 23) has been published and deals with a few topics including Registered Representatives, the enhanced Tax Compliance Status system, Administrative penalties for PAYE non-compliance, SARS concerns about the increase in complaints against tax practitioners and Tax Practitioners using the SARS Call Centre.
Draft IN: Disposal of Assets
SARS has issued a draft interpretation note for public comment. The draft interpretation note deals with the provisions of sections 9HA and 9HB of the Income Tax Act and some of the provisions of section 25 applicable to the deemed disposal of assets by a deceased person, a deceased estate and the transfer of assets between spouses.
Draft Tax Exemption Guide for Institutions
Section 10(1)(cA)(i) of the Income Tax Act provides an absolute exemption from income tax of the receipts and accruals of any institution, board or body established by or under any law engaged in specified prescribed activities. The draft guide issued by SARS discusses the requirements for the exemption to apply.
Draft Tax Exemption Guide for Companies
Section 10(1)(cA)(ii) of the Income Tax Act provides for an absolute exemption from income tax of the receipts and accruals of any company all the shares of which are held by any institution, board or body provided the operations of such company are ancillary or complementary to the object of the institution, board or body. The draft guide discusses the requirements for the exemption to apply.