Blog: December 2018

Desember 2018

With summer officially upon us, one can’t help but to wake up earlier than normal and start the day with a smile on your face.

As 2018 draws to a close everyone is working themselves to the bone, trying to tie up any loose ends before venturing off to their much-deserved vacation or staycation if you will.

S129 notice to the consumer and “delivery”

There are many reasons why a consumer may default in his payments to a credit provider. Notwithstanding these reasons, the credit provider must follow certain procedures to enforce the agreement.

The VAT consequences of change in intended use of goods

It happens ever so often that a business would purchase goods, and subsequently apply those goods in a different manner than it had initially intended to at the time that those goods were acquired. For example, a sole proprietor dealing in motor vehicles may decide to take one of those vehicles and apply it towards personal use. So too a property developer may decide to rather use one of its properties, up for sale, as new office premises for itself.

Tax on retirement lump sums

Determining the tax consequences in respect of any lump sum benefits from retirement funds can be complex and various legislative changes have been incorporated over the last few years, to regulate and align the tax treatment of these benefits.

Lump sum benefits are included in “gross income” in terms of paragraph (e) of the definition in section 1 of the Income Tax Act[1], read with the provisions of the Second Schedule to the Income Tax Act.