Visit our COVID-19 site for latest information regarding how we can support you. For up to date information about the pandemic visit www.sacoronavirus.co.za.

bs-regular
bs-extra-light
bs-light
bs-light
bs-cond-light-webfont
bs-medium
bs-bold
bs-black

Community


Share knowledge. Ask questions. Find answers.

Online Share Trading

Engage and learn about markets and trading online

Dividends tax

Reply
Not applicable
Would anyone be so kind to explain to me what the implications of the new didvidend tax are for an individual. I am somewhat confused by the provisions under section 64 and their applicability to individuals.
0 Kudos
4 REPLIES 4
AJT
Super Contributor
previously companies paid the dividen tax on your behalf which was 10%, so effectivly any money you received was tax free. As from 1 April 2012, any dividends you receive from a listed company you will need to declare in your tax returns and these dividends are subject to a 15% tax...
0 Kudos
Not applicable
Than you, so effectively the exemption that was under s10(1)(k) is no longer available? Or is the tax just a witholding tax such that SBG(OST) has to withhold nad the net is what you get or is the amount then fully gross income and thereafter taxed separately at that 15% rate?
0 Kudos
superstar
Regular Contributor
Thando do you mind if I put in Xhosa?, sometimes English challenges me. Xa ufumana i dividends le rhafu ye15% sele itsaliwe ngoko ke ayiyi kwi gross income yakho. For the benefit of others - The 15% is withheld by your MANCO or OST (Standard bank). It is not part of the Gross Income definition.
0 Kudos
Not applicable
I don't think that is right? I don't think you have to declare the dividends received. Dividends tax is a withholding tax - and shouldn't affect your overall tax status - it is the broker's responsibility to ensure it gets deducted. As to how you file for them - admittedly I have no clue, but the key here is that your tax status is not affected - to my knowledge?
0 Kudos