South Africa

Details

  • Service: Tax
  • Type: Regulatory update
  • Date: 2011/03/28

Corporate Tax

KPMG’s Corporate Tax practice provides a wide range of taxation services to clients in several sectors including financial services, mining, as well as consumer and industrial markets.

Update - New Companies Act 

There is still uncertainty about the effective date of the new Companies Act, 2008 (New Companies Act).  The Minister of Trade and Industry, Minister Rob Davies, indicated on 15 March 2011 that there is still commitment to an effective date of 1 April 2011.  CIPRO has also publicly announced the new Commission and that it will be operational from 1 April 2011. 

The new Companies Act is currently being amended by the Companies Amendment Bill.  The Companies Amendment Bill was passed by the National Council of Provinces on 24 March 2011.  This Bill will now be sent to the President for assent.


The status of the Companies Regulations, which is crucial for the implementation of the new Companies Act, is not clear.  Although a version of the Regulations was published for public comment (which was due by 31 January 2011) the version of the Companies Amendment Bill assented to by the National Council of Provinces will require the regulations to be updated.


There will be certainty about the effective date of the New Companies Act once an effective date has been formally gazetted.  In the meantime the express intention of the Department of Trade and Industry to gazette an effective date of 1 April 2011 should be noted.