PRETORIA – The tax season in South Africa has launched with a good start, lending credibility to the goal of raising SAR 1.1 billion from income taxes this year.
At midnight on June 31st the tax season in South Africa was opened, and by the end of the day on July 1st a total of 67 231 tax returns had already been filed.
The number of taxpayers filing their tax returns online in the first day in 2015 is 7 000 more than the number seen in the previous year, and according to a spokesperson for the South African Revenue Service Luther Lebelo, the good start to the tax season is a strong sign that South Africans have high confidence in the national tax system.
Luther Lebelo also added that this year the minimum threshold for tax filing has been raised to a level of SAR 350 000 from last year’...Read More
July 1, 2015 Taxation in UK
CARDIFF – Work has begun to establish an independent tax authority in Wales, in order to ensure that Wales can smoothly transition to collecting newly devolved taxes.
In a recent statement the Finance Minister of Wales Jane Hutt announced that a new tax collection body is now being established in the country to start collecting taxes from local taxpayers by the end of the year 2018.
The new body, to be called the Welsh Revenue Authority, will initially be charged with collecting the recently devolved landfill tax and the equivalent of stamp duty, to be called Welsh Land Transaction Tax.
It is estimated that the collection of the new landfill tax will result in revenues of GBP 51 million, while collection of the stamp duty will result in revenues GBP 168 million per year.
The Welsh Revenue...Read More
June 30, 2015 Taxation in UK
LONDON – New research has shown that high income earners see a salary far exceeding that of low income earners, and, additionally, they pay a much lower tax rate.
According to the results of new analysis conducted by the UK Office of National Statistics, low income earners in the UK pay a higher portion of their yearly salaries as income taxes compared to the highest earners in the country.
On average, the lowest earning fifth of households in the country see approximately 37.8 percent of their annual incomes paid out as taxes.
Comparatively, the highest fifth of earners see only 34.8 percent of their income come out as tax.
It was shown that while there is a significant difference in the rates of taxes paid out, high income earners still paid a larger monetary amount due to their higher...Read More
June 29, 2015 Taxation in New Zealand
WELLINGTON – The government of New Zealand hopes that education will be a more effective tool for fighting obesity than taxation.
In a media interview over the weekend the Minister of Health of New Zealand Jonathan Coleman reconfirmed that the government does not intend to implement a new tax on the sale of sugary drinks.
Researchers in the country have previously proposed that the sale of sugar-laden beverages should be levied with a tax of 20 percent in an effort to reduce consumption of such drinks and help combat obesity and other diet related disease.
The Health Minister conceded that some action needs to be taken to address the growing health problems, however, the focus will be on tightening the rules for advertising, while encouraging greater levels of dietary education and exerc...Read More
WASHINGTON D.C. – The IRS has awarded millions in contracts to businesses who owe taxes or have committed felonies.
In a new report the Treasury Inspector General for Tax Administration (TIGTA) claimed that the US Internal Revenue Service has awarded service contracts to providers who have outstanding debt obligations.
It was found that over the course of 2012 and 2013 the IRS awarded 57 contracts worth USD 18.8 million to 17 contractors who had not met their own federal tax obligations.
Under the details of regulations passed in 2012 the IRS is prohibited from awarding certain contracts to providers who have unpaid tax obligations or have been convicted of selected felonies.
The TIGTA recommended that the IRS updates its own policies regarding obtaining certification from suppliers reg...Read More