2016 heralded the promulgation on 8 January 2016 of new changes to tax legislation in terms of the Taxation Laws Amendment Act, 2015 and the Tax Administration Laws Amendment Act, 2015.
One interesting amendment was to section 26 of the Tax Administration (third party returns) where a person is required to submit information to SARS under section 26, or in terms of an international tax agreement or international tax standard. The relevant notice was published on 6 January 2016 and has far-reaching consequences. For instance, an estate agent must submit information relating to any amounts received on behalf of a third party in respect of an investment, interest or the rental of property. These developments will likely mean that there will be greater scrutiny of the flow of funds, which can be attributed to the changing global obligations for reporting standards, as further considered in our article The common reporting standard.