South Africa has finally signed on to a multinational treaty to clamp down on tax evaders and other dodgy financial flows.
South Africa’s National Treasury has gazetted the Base Erosion Profit Shifting Multilateral Convention to Implement to bring the country in line with international standards of cross-border transaction tracking and taxing.
Developing countries, such as South Africa, rely heavily on corporate taxes as a source of revenue. When multinational companies exploit gaps in different countries’ tax systems, all parties involved suffer consequences, said the OECD. The organisation noted that BEPS practices cost countries between $100 and $240 billion in lost revenue annually. South Africa is a late signatory of the BEP MLI treaty, as it was bought to the international financial table inThe National Treasury, under finance minister Enoch Godognwana, said that the BEPS MLI would be applied alongside existing tax treaties. South Africa has 76 bilateral treaties currently in force.
Only five tax treaties with other countries will not be covered by the BEPS MLI, namely Germany, Zambia, Malawi, Grenada and Sierra Leone – this is primarily due to renegotiating process currently being underway or overall incompatibility.Cliffe Dekker Hofmeyr reporting early this year
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
South Africa: Phala Phala Report Handed to Parliament - South African News Briefs - November 30, 2022
Read more »
South Africa: Govt Relooks Its HIV/Aids Treatment Plan - South African News Briefs - December 1, 2022
Read more »
South Africa: Govt Reviews Its HIV/Aids Treatment Plan - South African News Briefs - December 1, 2022
Read more »
Woolworths rolling out new shopping bag changes in South AfricaWoolworths will be rolling out two new reusable and recyclable shopping bag projects to over 200 stores across South Africa – which include a drop-off site…
Read more »
South African MVNOs to double market share in 2–3 yearsA new report by BMIT offers an optimistic projection for MVNOs in South Africa.
Read more »
What to know when buying a car 'new' or 'new new' | The CitizenAre you considering 'gifting' 💸 yourself a new car this festive season? Here's what to look out for to avoid pitfalls ⚠️ Motoring MotoringNews MotoringWorld
Read more »