SARS has published issue 2 of Interpretation Note 10. This Note provides guidance on the interpretation and application of section 4(c) of the SDL Act,1 which exempts any PBO2contemplated in section 10(1)(cN) from the payment of SDL, provided the PBO –
solely carries on qualifying PBAs; or
solely provides funds to PBOs that solely carry on qualifying PBAs.
Please click here to view issue 2 of IN 10 (17 August 2015).
1 See the Guide for Employers in respect of the Skills Development Levy, issued to assist employers to understand the basic fundamentals of the SDL Act.
2 See the Tax Exemption Guide for Public Benefit Organisations in South Africa and the Basic Guide to Income Tax for Public Benefit Organisations which provide information relating to PBOs and the tax implications affecting them.
Section 240A of the Tax Administration Act, 2011 (as amended) requires that all tax practitioners register with a recognized controlling body before 1 July 2013. It is a criminal offense to not register with both a recognized controlling body and SARS.