Donations Tax Archives

There’s some pretty stupid tax legislation out there that leads to taxes that SARS hasn’t a hope of collecting. Here are some of them – 1. Transfer Duty on sale of shares in a company owning residential property. If the shares in a company owning mostly residential property (a so-called residential property company) are sold, then this is deemed to be the sale of the property itself. The sale then attracts Transfer Duty. The problem that SARS has is that the only place where the sale of shares is recorded is in the Share Register, which sits on the server…

Yes, you can, despite my having written an article recently stating that this allowance was terminated on 28 February 2018. I was completely suckered by a member of SAIPA – that’s the wannabe institute of junior accountants who have gone through various names in the past trying to sound like professionals. These were CFA mimicking a very proud and respected body in the UK. They got barred from using that name, so they then called themselves CPA, which, in the USA means the same as CA(SA) does here. They got barred from using that name, so then they finally settled…

Donations Tax is levied at 20% on all donations (except to Public Benefit Organisations) by companies totalling in excess of R10 000 per annum and by individuals totalling in excess of R100 000 per annum, but how is this declared to SARS? The reason this comes up is that although this is very relevant to trusts and estate planning, we have never, during our 45 years in practice, submitted a Donations Tax Return on behalf of a client, so I actually had to Google it to find out what the return looks like. It is called an IT144 and is…

Donations Tax

Taxes on trusts that SARS will never collect

Can I donate R100K to my trust free of Donations Tax?

Donations Tax Returns