- SARS issued Binding Private Ruling No. BPR 415 on VAT for sale of fixed assets and JV interest.
- A South African company sold assets, including a 36.36% JV interest, to a UK company.
- The JV operated the taxpayer’s fixed assets on a cost recovery basis for the taxpayer’s benefit.
- The assets sold were connected to the taxpayer’s enterprise.
- The sale of both the fixed assets and JV interest is subject to the standard VAT rate.
Source: news.bloombergtax.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "South Africa"
- EFF Applauds Court Ruling Affirming Only Parliament Can Change South Africa’s VAT Rate
- Court Rules Finance Minister Cannot Unilaterally Raise VAT; DA, EFF Hail Decision
- Court Orders Parliament to Limit Finance Minister’s Power Over VAT Increases
- South African Court Rules VAT Changes Require Parliamentary Approval, Not Ministerial Decree
- High Court Rules Finance Minister Cannot Unilaterally Raise VAT Rate Without Parliamentary Approval
