Tax Break

Section 42 of the Income Tax Act provides relief for asset-for-share transactions. In this episode, I discuss some anti-avoidance rules to consider when dealing with asset-for-share transactions. You can contact me at  ⁠pieter@pvdz.co.za⁠  if you have any feedback on the episode or require tax advice. My website contains more resources and articles that may interest you  –  ⁠https://tax.pvdz.co.za...

Section 42 of the Income Tax Act provides relief for asset-for-share transactions. In this episode, I discuss how the provision works, some of its history and context as well as its purpose.  You can contact me at  ⁠pieter@pvdz.co.za⁠  if you have any feedback on the episode or require tax advice. My website contains more resources and articles that may interest you  –  ⁠https://tax.pvdz.co.za⁠ ....

When does the tax law require a person to charge interest? The answer is never. It only sets out what the tax implications are if parties do not charge interest. In this episode, I talk about tax implications that may affect the decision to charge interest or not. If you have an idea or suggestion for an episode or would like to see and vote for suggestions by other listeners, please visit the Tax...

Taxpayers often suggest that as long as SARS taxes an amount, or a deduction is only claimed once, then that should be acceptable. This is however not correct – the timing of the inclusion or deduction matters. In this episode, I speak about a recent tax court case that illustrates the importance of timing. If you have an idea or suggestion for an episode or would like to see and vote for suggesti...

SARS recently launched the IT3(BO) third party declaration process that relates to the income tax of partnerships. I take this opportunity to discuss some of the key principles of partnership taxation in this episode. If you have an idea or suggestion for an episode or would like to see and vote for suggestions by other listeners, please visit the Tax Break app at  https://tax.pvdz.co.za/app . You...

The Constitutional Court recently ruled on two legal questions relating to the GAAR raised in a review application by ABSA. In this episode, I discuss the case and share my thoughts on some aspects of the judgment.  If you have an idea or suggestion for an episode or would like to see and vote for suggestions by other listeners, please visit the Tax Break app at  https://tax.pvdz.co.za/app .  You...

SARS issued an updated version of Interpretation Note 64 in December 2025. This interpretation note deals with, amongst others, the taxation of home owners associations. In this episode, I discuss some of the changes from the previous version of the interpretation note to the current one – particularly those relating to home owners associations. If you have an idea or suggestion for an episode or...

The National Treasury announced changes to the VAT registration thresholds in the 2026 Budget Review. Some vendors may be considering deregistration as a result of these changes. In this episode, I discuss some practical considerations to keep in mind when deciding whether to deregister.  If you have an idea or suggestion for an episode or would like to see and vote for suggestions by other listen...

There has recently been an increase in the number of cases before the courts involving the general anti-avoidance rules (the GAAR). In this episode, I discuss the key elements of the GAAR.  If you have an idea or suggestion for an episode or would like to see and vote for suggestions by other listeners, please visit the Tax Break app at  https://tax.pvdz.co.za/app .  You can contact me at  ⁠pieter...

There is always a lot of excitement about budget and 2026 was no different. In this episode, I discuss some tax proposals in the budget that could be interesting for tax professionals and practitioners.   You can contact me at  ⁠pieter@pvdz.co.za⁠  if you have any feedback on the episode, would like to suggest a topic for a future episode or require tax advice. My website contains more resources a...

Section 7C has been a hot topic for tax practitioners since its introduction in the Income Tax Act as part of the 2016 amendments. It is one of the few sections that most people recognise by the section number! SARS issued a draft interpretation note for comment late in November 2025. Although this document is only a draft, one can glean some insight into SARS’ approach and interpretation of the p...

SARS recently issued an interesting ruling on a something that comes up very often in practice - interest deductibility. In short, the ruling deals with the deductibility of interest on a loan that will be used to redeem preference shares. In this episode, I discuss the ruling, recap on the requirements for interest to be deductible and consider why the taxpayer may have felt it needed to apply fo...

Consider the following scenario: you, or perhaps your client, owns a small business. The time has arrived, as with many small businesses, to sell - whether the business has reached a point where it requires a larger structure to grow, perhaps an opportunity to sell arose, or the owner and operator may just no longer be interested in conducting it - so CGT is on the cards. The CGT rules in the Eigh...

When thinking about VAT and grants, your first instinct is probably that there should not be VAT on a grant. In this episode, I look at a tax court case that illustrates the importance of being careful when dealing with VAT and grants, as this can be more complex than it seems at first. You can contact me at  ⁠pieter@pvdz.co.za⁠  if you have any feedback on the episode, would like to suggest a top...

Many companies, both large and small, use share incentives for key staff members to align their objectives with those of the company. The design may look different between - for example, listed or private companies. However, the tax considerations at the core of the schemes are actually very similar - so question is then, what are these key tax matters to consider? In this episode, I discuss some...

If a company makes payments to a related party of its shareholder, the question arises whether this is a dividend, or perhaps rather a donation? SARS recently issued Binding Private Ruling 423 on a set of facts involving this question. In this episode, I discuss the ruling and the underlying principles. You can contact me at  ⁠pieter@pvdz.co.za⁠  if you have any feedback on the episode or would li...

The National Treasury published the 2025 tax laws amendment bills on 12 November 2025. In this episode, I discuss the amendments to the USP regime. You can contact me at  ⁠pieter@pvdz.co.za⁠  if you have any feedback on the episode or would like to suggest a topic for a future episode. My website contains more resources and articles that may interest you –  ⁠https://tax.pvdz.co.za⁠ . You are welco...

The National Treasury published the 2025 tax laws amendment bills on 12 November 2025. In this episode, I discuss the amendments relating VAT on supplies by schools. You can contact me at  ⁠pieter@pvdz.co.za⁠  if you have any feedback on the episode or would like to suggest a topic for a future episode. My website contains more resources and articles that may interest you –  ⁠https://tax.pvdz.co.z...

The National Treasury published the 2025 tax laws amendment bills on 12 November 2025. In this episode, I highlight some of the key amendments in these bills. You can contact me at  ⁠pieter@pvdz.co.za⁠  if you have any feedback on the episode or would like to suggest a topic for a future episode. My website contains more resources and articles that may interest you –  ⁠https://tax.pvdz.co.za⁠ . Yo...

Taxpayers can obtain certainty on uncertain tax positions by requesting an advance tax ruling from SARS. In this episode, I discuss some of the requirements for such rulings that you may have to bear in mind when evaluating this course of action. You can contact me at  ⁠pieter@pvdz.co.za⁠  if you have any feedback on the episode or would like to suggest a topic for a future episode. My website con...

Taxpayers may value closing stock at less than its cost in certain circumstances. SARS recently issued Interpretation Note 140 on this topic. In this episode, I discuss some of SARS’ views from the interpretation note. You can contact me at  ⁠pieter@pvdz.co.za⁠  if you have any feedback on the episode or would like to suggest a topic for a future episode. My website contains more resources and art...

Taxpayers may request SARS to reduce assessments in the case of readily apparent undisputed errors. SARS recently issued a draft interpretation note on this topic. In this episode, I highlight some key views in this draft interpretation note. You can contact me at  ⁠pieter@pvdz.co.za⁠  if you have any feedback on the episode or would like to suggest a topic for a future episode. My website contain...

Taxpayers who submit information to SARS during a dispute are often anxious to receive a response. In this episode, I discuss som timeframes that the law provides for some responses. You can contact me at  ⁠pieter@pvdz.co.za⁠  if you have any feedback on the episode or would like to suggest a topic for a future episode. My website contains more resources and articles that may interest you –  ⁠http...

Many anti-avoidance rules rely on a connected person relationship as a trigger to apply. In this episode, I discuss the definition of a connected person to a trust. You can contact me at  ⁠pieter@pvdz.co.za⁠  if you have any feedback on the episode or would like to suggest a topic for a future episode. My website contains more resources and articles that may interest you –  ⁠https://tax.pvdz.co.za...

The VAT Act contains specific provisions dealing with agents. In this episode, I discuss some of the key provisions that apply to agency relationships. You can contact me at  ⁠pieter@pvdz.co.za⁠  if you have any feedback on the episode or would like to suggest a topic for a future episode. My website contains more resources and articles that may interest you –  ⁠https://tax.pvdz.co.za⁠ . You are w...