South Africa: Tax In Brief | Issue 55

Below, please find issue 55 of ENSafrica's tax in brief, a snapshot of the latest tax developments in South Africa.

case law

• Drontech Engineering (Pty) Ltd | Commissioner, South African Revenue Service (2020) [judgment citation not yet released]
  • The South African Revenue Services ("SARS") has announced that it has won a court case involving illegal fuel imports (judgment publication pending).
  • The Gauteng High Court in Pretoria has upheld the seizure by SARS of the horse and trailer used for the transport of fuel unlawfully imported into South Africa. SARS has similarly seized the fuel and the court has also upheld SARS' seizure in that regard.
  • The application, launched by Drontech Engineering (Pty) Ltd, was dismissed with costs of two counsel.
  • The truck and trailer were seized by SARS in March 2018. This was after SARS found that the fuel was unlawfully imported into South Africa by means of the truck and trailer and that the truck and trailer had also been used on previous occasions to smuggle fuel from Mozambique into South Africa. In all instances, the fuel was declared and ostensibly destined for Zimbabwe, but was introduced into the South African market without the applicable duties and levies having been paid.
  • Find the SARS press release here (judgment publication pending).

legislation and draft legislation

The National Assembly passed the following tax Bills as amended by the Standing Committee on Finance, on 17 November 2020:

• Taxation Laws Amendment Bill [B27A-2020]
  • Find a copy of the Bill here.
• Taxation Laws Amendment Bill [B27B-2020]
  • Find a copy of the Bill here.
• Rates and Monetary Amounts and Amendment of Revenue Laws Bill [B26A- 2020]
  • Find a copy of the Bill here
• Rates and Monetary Amounts and Amendment of Revenue Laws Bill [B26B- 2020]
  • Find a copy of the Bill here