The Supplementary Budget 2020 (presented 24 June 2020) includes the government’s commitment to strengthen public finances for faster and inclusive economic growth.
Improved tax collection and administration were specifically mentioned, and to achieve this goal, the South African Revenue Service will focus on increasing international tax collection, and one area highlighted is transfer pricing.
Therefore, taxpayers involved in cross-border transactions with connected or related persons need to determine that their compliance with South African transfer pricing rules is up to standard and that all transfer pricing policies are correctly implemented and aligned with legal agreements.
Read a June 2020 report [PDF 512 KB] prepared by the KPMG member firm in South Africa
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