In welcome news for taxpayers, HM Revenue & Customs have announced today that the 1.5% SDRT / stamp duty charge on the issue of UK shares into depositary receipt systems and clearance services and transfers linked with capital raising will not be reintroduced. Following UK and EU court decisions in 2009 and 2012, HMRC had not sought to collect the 1.5% charges as they were recognised as incompatible with the EU capital duties directive. The UK government had previously stated in Autumn Budget 2017 that it did not plan to reintroduce the charge following the UK's exit from the EU law. However, changes were made earlier this summer by the EU Retained Law (Reform and Revocation) Act 2023, which will repeal provisions giving continued effect to EU law as of 1 January, meaning that taxpayers could no longer rely upon these decisions. This had led to widespread concern that the 1.5% SDRT / stamp duty charges would be reintroduced from 1 January 2024. The measures announced today will in effect preserve the status quo. The charge on the issue of bearer instruments will also be abolished. The changes are expected to be included in Finance Bill 2023-24 and to take effect from 1 January 2024. https://lnkd.in/dprCYGtC #StampDuty #SDRT
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There are special rules to ensure that goods sent from abroad are taxed appropriately and to ensure that UK businesses supplying goods in the UK - for example by having to compete with VAT free imports - are not disadvantaged. This includes goods that are new or used and purchased online, purchased abroad and shipped to the UK and goods received as gifts. #ImportDuty #ImportTaxes
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SARS has issued a binding ruling, what does this mean? The Binding General Ruling 65 (BGR65) Many businesses in South Africa still use Cash as a method of payment, especially in the SME market such as small grocery shops and retail establishments. These businesses were affected by the decision of the reserve bank to discontinue the minting of certain coins such as the 1c (2002) and 5c (2012). This resulted in these shops implementing rounding usually in favour of the customer. This is also the case with Cash Suppliers. From an accounting perspective, this has caused a discrepancy between the amount paid and the amount charged by the supplier, which then affects the VAT (Value-Added Tax). However, Section 21 of the Value-Added Tax Act 89 of 1991 allows for various adjustments in this circumstance if supporting documents, such as credit notes, are supplied. Unless it is impractical to do so. The ruling states that credit notes need not be issued with respect to rounding, subject to certain conditions as per the ruling. This is also true for input tax which can be adjusted in relation to the rounded cash amount paid. #SARS #tax #taxation #VAT #BGR #CIBA #taxadvisory #Taxpractitioner #taxlaw Jean Claude Marais BAP(SA) CIBA Tax Compiler and Advisory License Managing Partner – Bluespan Management Solutions (Pty) Ltd 067 244 9692 | jean-claude@bluespan.co.za Source: www.sars.gov.za
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