February 2023

Begroting 2023

Hiermee volg ‘n kort opsomming van sommige van die belangrikste belastingvoorstelle wat die Minister van Finansies, Mnr Enoch Godongwana in sy begroting op 22 Februarie 2023 aangekondig het.

Budget 2023

Herewith a short summary of some of the tax proposals announced by the Minister of Finance, Mr Enoch Godongwana in his budget on 22 February 2023.

Ignoring an Online Review Could be Catastrophic for Your Business

With so many choices available for almost every service, online reviews are starting to play an increasing role in every customer’s decision as to where they shop and what they buy. Sites like Yelp, Facebook and TripAdvisor, which allow customers to give feedback, have seen their popularity boom as people lean increasingly heavily on the advice of strangers. A recent report found that 93% of all customers check reviews before committing to buying anything, with 91% of all 18 to 34-year-olds saying they trust these online reviews as much as a recommendation from a friend. Positive Google Reviews are often critical when it comes to customers making buying decisions.

Why then does it appear as though so many companies simply neglect their online reviews? The truth is that ignoring these reviews could be catastrophically damaging to your business and how you deal with them could be the difference between success and failure. So, what should you do with an online review?

Maximise Your Business Travel Tax Deduction

With both fuel and vehicle ownership costs at historic highs, it is more crucial than ever for taxpayers to keep accurate, up-to-date and securely stored logs of all business travel as well as proof of related travel costs. This is because expenses related to business travel can be deducted from taxable income – but only if a logbook that complies with SARS requirements is kept current for each vehicle and stored as per the regulations.
There are also several other tax implications relating to travel expenses, travel allowances and reimbursements for business travel. To maximise the tax benefits related to business travel for both a business and its employees, speak to your accountant to fully understand the tax implications for all concerned.

Loadshedding: Survival Tips for Small Businesses

From damaged equipment, and staff and machinery sitting unproductive for hours, to numerous missed deadlines, there is no doubt that constant loadshedding is taking a heavy toll on South Africa’s small to medium businesses. With no short-term solution in sight, it’s clear that to survive and hopefully thrive South Africa’s entrepreneurs are going to have to dig deep and come up with some novel solutions.

While all businesses are unique and will have to develop their own individual plans for coping with loadshedding in the long term, we have put together a few tips that can be generally applied by small businesses to try and take some of the sting from the daily blackouts. Here are our five top suggestions for surviving loadshedding as a small business.

How the New Assessed Loss Tax Limitation Works

Previously, company losses could (subject to certain requirements) be offset against 100% of taxable income in the following year, with any balance rolling over to subsequent years. Under the new rules, an assessed loss can now only be set off against 80% of taxable income or R1 million – whichever is higher – in the relevant tax year, with the remaining balance still rolling over.
Some companies, like those with taxable incomes under R1 million, are unaffected, but for others, it means that even if their assessed loss balance far exceeds their taxable income, they will from now pay tax on up to 20% of taxable income. There are other complexities involved, including wording still to be clarified, so read on for more detail…