Galaxy Fiscal Solutions

SARS is targeting two specific groups of taxpayers in South Africa. The South African Revenue Service (SARS) is intensifying its focus on two groups: remote workers and high-net-worth individuals with cross-border investments. This move reflects a global shift as tax authorities grapple with challenges posed by the digital economy. Professor Jennifer Roeleveld, an international taxation expert and President of the International Fiscal Association (IFA) South Africa, highlights that countries worldwide are seeing a decline in their tax base as the economy increasingly embraces digital operations. In response, tax authorities are prioritizing efforts to establish a nexus essentially, a connection between individuals or entities and a jurisdiction so they can rightfully apply tax laws. As SARS sharpens its focus on these groups, compliance in a digitally connected world remains an evolving challenge. . . . #galaxyfiscalsolutions #taxconsulting #SARS #TaxCompliance #RemoteWork #HighNetWorthIndividuals #DigitalNomads #GlobalTax #CrossBorderTax #InternationalTaxation #Taxation #DigitalEconomy #TaxProfessionals #Compliance #Finance #TaxPolicy #GlobalEconomy

KRA initiates integration of its tax system with financial institutions and telecom providers. The Kenya Revenue Authority (KRA) has embarked on a new, strategic effort to tackle tax evasion and bolster revenue collection by integrating its systems with banks, money remittance firms, and payment service providers like M-Pesa. This latest move is expected to significantly enhance KRA’s monitoring capabilities, allowing it to tap into financial data more effectively, and identify tax discrepancies with greater precision. Mr. Humphrey Wattanga ,Commissioner General

Tax Surprises Await South African Retirees who access their retirement savings early. South Africans who tap into their retirement savings through the new two-pot system could face an unexpected tax burden, as these withdrawals may push them into a higher tax bracket. The two-pot retirement system, which has been in place for just over three weeks, allows individuals to access significant portions of their savings. This system divides retirement contributions into two parts: two-thirds go into a retirement pot, and one-third goes into a savings pot. The retirement pot must stay invested until retirement, at which point it can be used to purchase a living annuity or other retirement products. However, the focus has largely been on the savings pot, which South Africans can withdraw from once per tax year to cover emergencies. Asset managers have cautioned that withdrawing from the savings pot early could have major tax implications, as these withdrawals are taxed at the individual’s marginal tax rate. When you request a withdrawal from the two-pot system, your financial services provider seeks a tax directive from SARS, which specifies the amount to withhold and any additional payments due to the government.

Lower Taxes, Higher Prosperity: How Reducing Tax Burdens Drives Economic Growth In today's economic landscape, the debate over taxation is more relevant than ever. Some views on why lowering taxes could be a game-changer for economic prosperity mostly in African Countries More Disposable Income: Reducing taxes puts more money in people’s pockets, leading to increased consumer spending, which fuels local businesses and stimulates economic growth. Boosting Business Investments: Lower corporate taxes allow businesses to expand, hire more employees, and invest in innovation. This not only drives job creation but also enhances global competitiveness. Incentivizing Hard Work & Productivity: When workers keep more of their earnings, they're more motivated to work harder and pursue higher-paying opportunities, boosting overall productivity. Fighting Tax Evasion: Lower taxes can reduce the incentive for individuals and businesses to operate in the informal economy, increasing compliance and broadening the tax base. Multiplier Effect: Every amount saved in taxes has the potential to generate more than it’s worth of economic growth through increased spending and investment. Lowering taxes isn’t just about cutting costs but also about empowering individuals and businesses to drive growth, innovation, and long-term wealth. #Economy #TaxPolicy #BusinessGrowth #Innovation #Prosperity #EconomicGrowth #Entrepreneurship #Finance #WealthManagement #GlobalEconomy #Investment #Leadership #BusinessDevelopment #PublicPolicy #TaxConsultancy #AfricanTax #GalaxyfiscalSolutions #employment #hardwork #taxevasion FILE PHOTO | NCC Website/google

A win for car importers as KRA proposes new car valuation method. The Kenya Revenue Authority (KRA) has issued a public notice inviting citizens to participate in the transition from the Current Retail Selling Price (CRSP) method to the Transaction Value approach. This change is in line with the court ruling from petition 190 of 2018 and Article 47 of the Constitution, as well as the WTO General Agreement on Tariffs and Trade (GATT) 1994 provisions. KRA's decision to implement the transaction value method aims to ensure compliance with international standards and offer a fairer evaluation of vehicle values. This new method will base the valuation on the actual price paid or payable for the vehicle, rather than a standardized retail price. The shift intends to more accurately reflect the market value of used vehicles, which could affect the duties and taxes importers are required to pay. By aligning the declared value of vehicles with their actual transaction value, this approach may help minimize disputes between importers and the KRA regarding assessed values and applicable duties. #KenyaRevenueAuthority #TaxNews #VehicleValuation #TaxReform #ValuationMethods #KenyaEconomy #ImportDuties #TaxCompliance #ImportTax #VehicleImport #AutomotiveIndustry #WTOCompliance #galaxyfiscalsolutions #taxconsultancy #LegalUpdate #EconomicPolicy #MarketValue #InternationalStandards #TradePolicy #StayInformed #PublicNotice #TaxPayers #VehicleTaxation FILE PHOTO | NMG

Major VAT Changes in South Africa: What You Need to Know 🌾 In a significant move aimed at alleviating the financial burden on South Africans, President Cyril Ramaphosa announced during the Opening of Parliament Address that the Government of National Unity (GNU) will be expanding the range of food items exempt from VAT. This initiative is part of a broader effort to combat the rising cost of living and make essential goods more affordable for citizens. Tackling the Cost of Living Crisis As South Africa faces high poverty levels, the government is conducting a comprehensive review of administered prices, including the fuel price formula. This is aimed at identifying areas where prices can be reduced, thereby providing relief to South Africans grappling with ever-increasing expenses. The Trade Intelligence Grocery Shopper Report for 2024/25 highlights the impact of food inflation, with 17% of household expenditure going towards food, second only to housing and utilities, which account for 25% of spending. With food inflation averaging 10.8% in 2023, following an average of 9.2% in 2022, the strain on South African households is evident. Current Zero-Rated Food Items Currently, the following essential foodstuffs are zero-rated by the National Treasury:    Brown bread    Maize meal    Samp    Mealie rice    Dried mealies    Dried beans    Lentils    Milk powder    Pilchards/sardinella in tins    Dairy powder blend    Rice    Fruit    Vegetables    Vegetable oil    Milk    Cultured milk    Brown wheaten meal    Eggs    Edible legumes and pulses of leguminous plants What's Next? As President Ramaphosa stated, "Even at a time when many companies are making large profits, millions of South Africans are suffering as a result of rising prices." The upcoming changes to VAT exemptions aim to address this imbalance and provide much-needed support to vulnerable populations. Join the Conversation What are your thoughts on these VAT changes? 1.Do you think this will significantly impact the cost of living in South Africa? 2.How Can Kenya Learn from this? Share your insights and let's discuss how such changes if implemented impact and shape the economic landscape for the common mwananchi. #SouthAfrica #VATChanges #CostOfLiving #FoodInflation #EconomicRelief #TaxExemption #zerorating #EconomicRelief #TaxExemption #KenyaEconomy #KenyaFinance #KenyaTax #KenyaBudget #KenyaInflation #EconomicGrowthKE #FoodSecurityKE #KenyaFood #KenyaAgriBusiness #KenyaFoodIndustry #kam

Unlocking Tax Efficiency with Galaxy Fiscal Solutions In today's ever-evolving tax landscape, businesses are facing numerous challenges in staying compliant and minimizing liabilities. Galaxy Fiscal Solutions is here to turn those challenges into opportunities. - Tailored Tax Strategies: We create personalized tax plans that align with your business goals, ensuring you benefit from every available deduction and credit. - Expert Representation: Facing a tax dispute? Our expert team will represent you, negotiating settlements and navigating complex regulations on your behalf. - Educational Workshops: Stay ahead of tax changes with our workshops and seminars, designed to keep you informed and compliant. Let Galaxy Fiscal Solutions be your partner in navigating the complexities of taxation. Together, we'll pave the way for a more efficient and profitable future. #TaxPlanning #BusinessTax #TaxCompliance #GalaxyFiscalSolutions #TaxEfficiency #DigitalTransformation #TaxEducation #TaxAdvisory #TaxSolutions #BusinessGrowth #TaxExperts #TaxInnovation #FinancialStrategy #TaxOptimization #CorporateTax #TaxConsulting #BlockchainInTax #AIDrivenTax #TaxAutomation #DigitalTaxTransformation #TaxRiskManagement #ComplianceSolutions #TaxRegulation #SmartTaxPlanning #TaxEfficiency #TaxEducation #FinancialWellness #FutureOfTax #BusinessSolutions #ProfessionalServices #TaxReform #TaxStrategy #EInvoicing #RealTimeReporting

SEP Tax and its potential challenges for Non Resident Firms

KRA Extends Working Hours to Facilitate Tax Return Filing The Kenya Revenue Authority (KRA) has announced an extension of working hours at select Huduma Centres starting June 3, to aid taxpayers in filing their tax returns before the June 30 deadline. At specific Huduma Centres, KRA will be operational from 7 am to 7 pm on weekdays, with these centres remaining closed over the weekends. The designated centres in the Nairobi region include GPO Huduma Centre, City Square Huduma Centre, Kibra Huduma Centre, Makadara Huduma Centre, and Eastleigh Huduma Centre. This initiative aims to provide additional support and convenience for taxpayers, ensuring they have ample opportunity to complete their tax filings within the stipulated timeframe. Galaxy Fiscal Solutions is ready to help taxpayers file their returns efficiently, offering expert assistance and guidance throughout the process. https://lnkd.in/dM7Ht7Vv #KRA #TaxReturn #TaxFiling #HudumaCentres #Nairobi #ExtendedHours #GalaxyFiscalSolutions #TaxSupport #Kenya #TaxDeadline #FinancialServices #ExpertGuidance #TaxCompliance #TaxAssistance #TaxHelp