Tag: Werksmans Attorneys

The recent fire which broke out in a government building in central Johannesburg lead to the tragic loss of lives of three firefighters who were attempting to put out the blaze. The lives, and health of safety of employees working in the building were also put at risk.

South Africans have read about, and many have unfortunately experienced, significant data breaches this year already. Even the Presidency’s website was targeted in July 2018.

Is the dismissal of an employee, who compares a fellow employee to a monkey, fair, if the employee doing so alleges the statement was made in a friendly and inoffensive manner, according to the employee’s culture?

The general principle is that South African resident individuals who have settled offshore trusts are taxed on the income and capital gains of that trust (or its underlying subsidiary) in terms of the Income Tax Act, 1962 (the Act).  

Multinationals with South African group companies are required to adhere to South Africa’s transfer pricing legislation as found in section 31 of the Income Tax Act, 58 of 1962, which provisions in very simple terms require cross-border transactions (which include loans) to be conducted on an arm’s length basis.

Employees, earning below the prescribed earnings threshold of R205,433.30 per annum, who are placed with a client by a temporary employment service (TES) for a period exceeding three months are solely employed by the client, and the TES is no longer the employer of that employee.

A recent judgment handed down in the Pretoria High Court last month highlights SARS’s intransigence when applying certain aspects of the Tax Administration Act, 28 of 2011 (the TAA).

The National Minimum Wage (NMW) Bill has been passed by the National Assembly and sent for concurrence to the National Council of Provinces. The implementation date of the NMW Bill will be announced after the National Council of Provinces (NCOP's) select committee considers the NMW Bill. The NMW legislation is intended to provide for a national minimum wage; to establish a National Minimum Wage Commission; to review and annually adjust the national minimum wage and provide for exemption from paying the national minimum wage.

On 1 October 2012 the understatement penalty regime was introduced to replace the additional tax regime. An understatement penalty is determined by applying the highest applicable percentage in the understatement penalty table.

The duty of directors to act in the best interest of the company has traditionally been to maximise profits for the company's shareholders. Over time, however, public opinion has dictated that a variety of other stakeholders' interests should also be recognised. So, can the directors of these companies be held personally liable by the South African public as ultimate stakeholders? And, what exactly are the duties of directors of State Owned Companies (SOC)?