APRIL 2012 TAX NEWSLETTER

The National Treasury and the South African Revenue Service have been very busy during 2011 and the first quarter of 2012. Firstly, the controversial Taxation Laws Amendment Act, No. 24 of 2011 finally became law on 10 January 2012, bringing with it many important changes to our tax law. And secondly, in his Budget Speech delivered on 22 February 2012, the Minister of Finance announced totally unexpected increases to the rates on Capital Gains Tax (“CGT”) and Dividends Tax, the latter of which finally came into effect on 1 April 2012, replacing Secondary Tax on Companies.