Board Effectiveness: The Role of Independent Nomination Committees
Board effectiveness is crucial for the success and sustainability of any organization. A well-functioning board of directors ensures that the company is governed in the best interests of its shareholders and stakeholders. One key aspect of board effectiveness is the establishment of an independent nomination committee. The role of an independent nomination committee […]
SARS AUTO-ASSESSMENT 2024 GUIDELINES
This year, SARS is again increasing the number of taxpayers participating in auto-assessments. These are taxpayers whose tax affairs are less complicated. If you agree with your auto-assessment, there is nothing more you need to do. If SARS did not get your assessment right, you can complete and file your tax return on or before […]
BASIC UNDERSTANDING OF A COMPANY’S FINANCIAL STATEMENTS
Definition Financial statements are written records that illustrate the business activities and the financial performance of a company. In most cases they are audited to ensure accuracy for tax, financing, or investing purposes. What are the elements of financial statements? Balance sheet (Statement of financial position) The balance sheet shows what the company owns and how much […]
IFRS 15 REVENUE FROM CONTRACTS WITH CUSTOMERS: FUNDAMENTALS AND BENEFITS OF ADOPTING THE STANDARD
FUNDAMENTALS OF IFRS 15 IFRS 15 establishes the principles that an entity applies when reporting information about the nature, amount, timing and uncertainty of revenue and cash flows from a contract with a customer. Applying IFRS 15, an entity recognises revenue to depict the transfer of promised goods or services to the customer in an […]
IFRS (International Financial Reporting Standards), IAS (International Accounting Standards) and generally accepted accounting principles (GAAP)
Both the International Accounting Standards (IAS) and the International Financial Reporting Standard (IFRS) are issued by International Accounting Standard Board (IASB), in London. They are developed to provide a consistent and transparent framework for financial reporting. IAS include the standards that the accountants should apply while they are recording transactions in their companies’ books. Whilst IFRS explains […]
The Importance of Tax Planning
What is Tax Planning? Tax planning can be defined as an arrangement of one’s financial and economic affairs by taking complete legitimate benefits of all deductions, exemptions, allowances and rebates according to laws and regulations to ensure that tax liability reduces to a minimum. Tax planning imply compliance with the taxing provisions in such a […]
Tax Implications of Death
Benjamin Franklin once said that “the only thing certain in this world is death and taxes”. Whilst it is extremely difficult to deal with the loss of a loved one, it is important to understand the tax consequences of death. When a person passes on, all their assets are placed into an estate. These assets […]
Small Tax Mistakes – Beware!
You can now be fined or jailed for small tax mistakes. Inadvertent (unintended, unintentional, unplanned) tax errors – including not alerting SARS of a change in your personal details or failing to keep records from previous tax years – could potentially land you with a fine, or even jail time. This is the result of […]
Capital Gains Tax and the sale of Bitcoin
Capital Gains Tax was introduced on 1 October 2001. It forms part of normal income tax and is based on the sliding tax tables for individuals. Capital gains is based on the concept of disposal. Events that trigger a disposal include a sale, donation, exchange, loss, death and emigration. It comes about most often for taxpayers when […]
Break-Even Analysis: Definition and How to Calculate and Use It
What Is a Break-Even Analysis? A breakeven analysis is a calculation that tells business owners the minimum number of units of a good or service they must sell to cover all their costs and to be profitable. It helps entrepreneurs come up with a pricing strategy that will not only cover costs but will generate […]