The South African Revenue Service (SARS) is ready to implement the Capital Gains Tax (CGT) come the 1 April 2001 implementation date as tabled by the Ministry of Finance in his Budget Review [last] year.
SARS has researched the tax, determined what level of CGT is best suited for South Africa and what exemptions should be granted.
SARS has formulated an implementation strategy from mid-2000 and the execution of the strategy has begun. Important elements of the strategy include the training of SARS personnel, setting up of support divisions across the country, publications and workshops to inform the public, a national help line for CGT queries and changes to systems.
Over 300 submissions, held meetings with a number of associations and industry groupings, and public hearings held by the National Assembly's portfolio committee on finance over the next few weeks, will form part of the finalisation of the Taxation Laws Amendment Bill that would put the tax into effect.
SARS advises the taxpayer not to be confused by discussion around its implementation date, but inform themselves as much as possible around the tax and its implications.
ISSUED BY THE COMMISSIONER FOR THE SOUTH AFRICAN REVENUE SERVICE