A comparative analysis of the usage of the concept of “beneficial owner” in South African double tax agreements
- Authors: Makhetha, Disebo Precious
- Date: 2014-03-13
- Subjects: Double taxation , Double taxation - South Africa , Income tax - South Africa , Double tax agreements
- Type: Thesis
- Identifier: uj:4335 , http://hdl.handle.net/10210/9685
- Description: M.Com. (SA and International Tax) , The term “beneficial owner” is found in 64 of the 71 double tax agreements signed by South Africa. However, there is no definition of the term in the Income Tax Act or within the orbit of international taxation. There are international court cases in relation to the interpretation of the term. The fact that there are inconsistencies in the treaties signed by South Africa may result in treaty shopping opportunities. The study aims to define the term “beneficial owner”; to view other necessary acts and other forms of supporting legislature when interpreting a treaty; and subsequently, to explore the term as used in South African double tax agreements.
- Full Text:
- Authors: Makhetha, Disebo Precious
- Date: 2014-03-13
- Subjects: Double taxation , Double taxation - South Africa , Income tax - South Africa , Double tax agreements
- Type: Thesis
- Identifier: uj:4335 , http://hdl.handle.net/10210/9685
- Description: M.Com. (SA and International Tax) , The term “beneficial owner” is found in 64 of the 71 double tax agreements signed by South Africa. However, there is no definition of the term in the Income Tax Act or within the orbit of international taxation. There are international court cases in relation to the interpretation of the term. The fact that there are inconsistencies in the treaties signed by South Africa may result in treaty shopping opportunities. The study aims to define the term “beneficial owner”; to view other necessary acts and other forms of supporting legislature when interpreting a treaty; and subsequently, to explore the term as used in South African double tax agreements.
- Full Text:
Place of effective management : an analysis of South African legislation and United Kingdom case law
- Authors: Sackoor, Shaaira
- Date: 2017
- Subjects: South Africa. Income Tax Act, 1962 , Double taxation , Income tax - Law and legislation
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/272385 , uj:28991
- Description: M.Com. , Abstract: The Income Tax Act, No. 58 of 1962, defines a resident as a “person (other than a natural person) which is incorporated, established or formed in the Republic or which has its place of effective management in the Republic”. It is therefore possible for a company incorporated outside of South Africa to be regarded as tax resident in South Africa if the company’s Place of Effective Management (“POEM”) is in South Africa, thus giving rise to double taxation. POEM is not defined in the Act and each country has its own interpretation with regards to POEM. The South African Revenue Service (“SARS”) has provided guidance in the form of Interpretation Note 6 as to the meaning of POEM. However, criticisms were identified and SARS therefore issued a new Interpretation Note 6. This was to conform to international guidelines and provide more certainty for taxpayers. The new Interpretation Note 6, however makes reference to the fact that each case would need to be determined on a fact-by-fact basis and makes mention of UK case law. This study therefore looks at case law in South Africa and the United Kingdom in order to determine if specific guidance can be ascribed to Place of Effective Management, or if any lessons learnt from the United Kingdom case law can be used and incorporated in a South African environment.
- Full Text:
Place of effective management : an analysis of South African legislation and United Kingdom case law
- Authors: Sackoor, Shaaira
- Date: 2017
- Subjects: South Africa. Income Tax Act, 1962 , Double taxation , Income tax - Law and legislation
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/272385 , uj:28991
- Description: M.Com. , Abstract: The Income Tax Act, No. 58 of 1962, defines a resident as a “person (other than a natural person) which is incorporated, established or formed in the Republic or which has its place of effective management in the Republic”. It is therefore possible for a company incorporated outside of South Africa to be regarded as tax resident in South Africa if the company’s Place of Effective Management (“POEM”) is in South Africa, thus giving rise to double taxation. POEM is not defined in the Act and each country has its own interpretation with regards to POEM. The South African Revenue Service (“SARS”) has provided guidance in the form of Interpretation Note 6 as to the meaning of POEM. However, criticisms were identified and SARS therefore issued a new Interpretation Note 6. This was to conform to international guidelines and provide more certainty for taxpayers. The new Interpretation Note 6, however makes reference to the fact that each case would need to be determined on a fact-by-fact basis and makes mention of UK case law. This study therefore looks at case law in South Africa and the United Kingdom in order to determine if specific guidance can be ascribed to Place of Effective Management, or if any lessons learnt from the United Kingdom case law can be used and incorporated in a South African environment.
- Full Text:
An international comparative study of dividend withholding taxes
- Tshikovhi, Sibusiso Fortesque
- Authors: Tshikovhi, Sibusiso Fortesque
- Date: 2018
- Subjects: Dividends - Taxation , Dividends - Taxation - South Africa , Double taxation , Double taxation - South Africa
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/296106 , uj:32256
- Description: M.Com. , Abstract: This study investigates the current dividend withholding tax regime in South Africa. A country’s tax regime is a crucial factor for foreign investors and potential investors. When a South African resident company declares a dividend to a non-resident, the dividend will be subject to a withholding tax. This study also examines the role played by double taxation agreements in alleviating the dividend tax burden. A literature review of the dividend withholding tax and the double taxation agreements is adopted in this study, applying a qualitative approach. This study highlights challenges posed by the dividend withholding tax and the non-existence of double taxation agreements. The findings in this study create the impression that the dividend withholding tax, especially in the light of the recent increase in the dividend tax rate, could deter current investors or potential investors from investing in South Africa, particularly in instances where a double taxation agreement is not in force. The findings also demonstrate that the South African Revenue Service is exposed to challenges of treaty shopping, the misinterpretation of dividend tax legislation and the articles of the double taxation agreements by taxpayers, and the existence of double taxation. Notwithstanding the challenges, double taxation agreements play a major role in providing relief from double taxation and investors should take them into consideration when investing in South Africa. Double taxation agreements also assist in the prevention of tax evasion and the exchange of information between the South African Revenue Service and other tax jurisdictions.
- Full Text:
- Authors: Tshikovhi, Sibusiso Fortesque
- Date: 2018
- Subjects: Dividends - Taxation , Dividends - Taxation - South Africa , Double taxation , Double taxation - South Africa
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/296106 , uj:32256
- Description: M.Com. , Abstract: This study investigates the current dividend withholding tax regime in South Africa. A country’s tax regime is a crucial factor for foreign investors and potential investors. When a South African resident company declares a dividend to a non-resident, the dividend will be subject to a withholding tax. This study also examines the role played by double taxation agreements in alleviating the dividend tax burden. A literature review of the dividend withholding tax and the double taxation agreements is adopted in this study, applying a qualitative approach. This study highlights challenges posed by the dividend withholding tax and the non-existence of double taxation agreements. The findings in this study create the impression that the dividend withholding tax, especially in the light of the recent increase in the dividend tax rate, could deter current investors or potential investors from investing in South Africa, particularly in instances where a double taxation agreement is not in force. The findings also demonstrate that the South African Revenue Service is exposed to challenges of treaty shopping, the misinterpretation of dividend tax legislation and the articles of the double taxation agreements by taxpayers, and the existence of double taxation. Notwithstanding the challenges, double taxation agreements play a major role in providing relief from double taxation and investors should take them into consideration when investing in South Africa. Double taxation agreements also assist in the prevention of tax evasion and the exchange of information between the South African Revenue Service and other tax jurisdictions.
- Full Text:
- «
- ‹
- 1
- ›
- »