Currency: South African Rand
Foreign Exchange Control: None on non-residents. Exchange controls over residents and transactions between residents and non-residents.
Accounting Principles: IFRS. Financial statements prepared annually.
Business Entities: Principally, profit or non-profit companies. Within profit companies there are four different types: private company, personal liability company, state-owned company and public company. Branches of foreign companies are required to register as external companies.
Residence: If incorporated or effectively managed in South Africa.
Basis: Residents are taxed on worldwide income. Non-residents are taxed on certain types of Canadian-source income and capital gains on assets of a permanent establishment in South Africa.
Foreign Tax: Foreign tax paid on income may be credited against South African tax on the same profits limited to the South African tax payable. Other limitations also apply.
Other: Preferential tax rate for small business corporations, R&D deductions, urban development and infrastructure allowances, film allowances etc.
Tax Year: Accounting year
Residence: Residents taxed on worldwide income. Non-residents taxed on South African-source income and capital gains from immovable property and permanent establishments (resident if spend > 91 days in a calendar year and present for an aggregate of 915 in the 5 preceding years).
Rate: Progressive up to 40%
Capital Gains: 33% of gains are included in taxable income
Other: Stamp duty: 0.25% on transfer of shares
Real property tax: Municipal authorities levy taxes on the occupation of real property.
Inheritance tax: 20% on estates over ZAR 3.5m, deductions are available.
.Social Security: Employer 1% and employee 1%
VAT: Federal rate 5%. Provinces also levy charges.
Member Firm: Sprigg Abbott Incorporated
David Barnes: firstname.lastname@example.org