South Africa Tax Agency Seeks Comments on VAT Treatment of Rounding Differences in Cash Transactions

The South African Revenue Service Oct. 31 opened a consultation on a draft binding general ruling concerning the VAT treatment of rounding differences in cash transactions. The draft ruling includes measures that would: 1) set out the circumstances and conditions under which a supplier isn’t required to issue a credit note; 2) clarify the input tax consequences for a recipient vendor when a rounding difference occurs as a result of a cash transaction; 3) allow the recipient vendor to use the tax invoice issued by the supplier to deduct input tax; 4) allow input tax deduction on the adjusted amount ...