123 Consulting

Deciphering the dilemma: To sell or not to sell your property amid financial strain

Given the current economic climate, many homeowners in South Africa might find themselves facing the challenge of keeping up with their monthly bond repayments. In such instances, it may be tempting to consider selling the property to relieve financial pressure. However, before you make a hasty decision, it is crucial to understand all the factors […]

Deciphering the dilemma: To sell or not to sell your property amid financial strain

Given the current economic climate, many homeowners in South Africa might find themselves facing the challenge of keeping up with their monthly bond repayments. In such instances, it may be tempting to consider selling the property to relieve financial pressure. However, before you make a hasty decision, it is crucial to understand all the factors […]

TAX CONSEQUENCES OF USUFRUCTS CREATED UPON DEATH

A usufruct is a limited real right in property. The usufruct construct takes the form of a common-law personal servitude, which, as a limited real right, grants the holder (the usufructuary) the right to use someone else’s property, including the fruits. Typical examples include where someone is granted the right to use a house, or […]

TRANSFER DUTY: VALUATION CONSIDERATIONS

Section 2(1) of the Transfer Duty Act[1] imposes transfer duty on the value of any property acquired by any person by way of a transaction, or in any other manner, or on the value by which any property is enhanced by the renunciation of an interest in or restriction upon the use or disposal of […]

SPECIAL TRUSTS

The Income Tax Act[1] includes specific provisions for “special trusts”. These trusts are taxed on the same sliding scale applicable to natural persons, which could be lower than the current 45% flat rate applicable to conventional trusts. Capital gains tax (“CGT”) is also lower within a special trust, at a maximum rate of 18% compared […]

SO WHEN AM I AUTHORISED TO ACT AS TRUSTEE?

The Trust Property Control Act 57 of 1988 defines a trustee as meaning “any person (including the founder of the trust) who acts as a trustee by virtue of an authorisation under Section 6.”In the matter of Lupacchini vs Minister of Safety and Security (16/2010) [2010], ZASCA 108   (17 September 2010), the position of a […]

We use cookies to improve your experience on our website. By continuing to browse, you agree to our use of cookies
X