South Africa Tax Agency Posts Guide, FAQs on Turnover Tax System for Micro Businesses

The South African Revenue Service Jan. 16 posted guidance on turnover tax for micro businesses. Topics covered include: 1) the 1 million South African rand (US$60,816) annual turnover limit to qualify as a micro business; 2) a 200,000 rand (US$12,166) annual exemption for shareholders, with proportional sharing among shareholders; 3) tax brackets ranging from zero percent on turnover up to 335,000 rand (US$20,378), to 3 percent on turnover exceeding 750,000 rand (US$45,628); 4) procedures for calculating taxable turnover, including adding 50 percent of capital receipts and excluding grants, individual investment income, and nonresident business income; 5) recordkeeping requirements; and 6) ...