Tax, VAT, customs and trade alerts

We provide a wealth of publications by PwC South Africa providing informed commentary on current developments in the tax arena, both locally and internationally.

Through analysis and comment on new law and judicial decisions of interest, they assist business executives to identify developments and trends in tax law and revenue practice that might impact their business.

In this alert:

Tax Alert - Constitutional Court allows Capitec a partial deduction on loan cover payments

The Constitutional Court has handed down its judgment in the case of Capitec Bank Limited v Commissioner for the South African Revenue Service. This case highlights some significant principles in dealing with the nature of supplies and the concomitant deductibility of input tax. Most importantly, it makes it clear that “SARS, as an organ of state subject to the Constitution, should not seek to exact tax which is not due and payable”; in other words, SARS should always seek to only collect the right amount of tax.