Government measures in key jurisdictions 2nd edition final pages - Flipbook - Page 86
South Africa
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Litigation
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The most significant impact of the lockdown was the closure of the Deeds Offices
during lockdown level 5. The Deeds Office processes the registrations of transfer
of properties and bonds in terms of the Deeds Registries Act and no transfer of
properties or registration of bonds could transpire, which had a detrimental effect on
the cash flow of individuals and entities, causing hardship.
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The Deeds Office is currently open under level 4 with reduced staff, which still results
in transactions not being made available for registration speedily and having a knock
on effect on the economy. This is due to the fact that the Deeds Office is similar to a
stock exchange with the commodity however being property.
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The regulations issued in response to the lockdown prohibit evictions without a court
order. In terms of the regulations in respect of level 3, such evictions orders may be
stayed and suspended until the last day of the level 3 period, unless a court decides
that it is not just and equitable to do so.
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In the RSA, presiding officers in the courts have been given the discretion, and are
urged, to use teleconference or videoconference tools where possible in order to
keep the court system operational, however, in practice a large number of matters
are not going forward and have been postponed.
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On 4 May 2020, the Minister of Justice and Correctional Services issued a direction
stating that no new civil cases may be placed on the court roll unless identified
as urgent or permitted services – this is however subject to the discretion of the
presiding officer to use teleconference or videoconference tools.
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Matters already on the roll, where the presiding officer does not exercise their
discretion to use videoconference tools, must be postponed and new dates are
being provided, in writing, by clerk or register of the courts.
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Service processes and execution of writs and warrants are also restricted to urgent
or specifically permitted matters.
Are the courts
operating?
Tax
The Government of the RSA has introduced the following tax relief measures for employers
and employees:
Has any new
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legislation been
introduced in light
of COVID-19?
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An expanded employment tax incentive of R500 per month for low-income employees
for a period of four months. It has been proposed that this amount be increased to R750
per month.
Deferral, for a period of four months, of 20% of employees tax (“PAYE”) payable by tax
compliant SMMEs (without penalties or interest). It is proposed that the percentage be
increased to 35%.
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Increased deductions from PAYE of certain tax-deductible donations made by employees.
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From 1 May 2020, a four-month holiday for skills development levy contributions (1% of
total salaries) applies.
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The Covid-19 TERS provides tax-free unemployment insurance relief through applications
to the Unemployment Insurance Fund (“UIF”) for unemployment resulting from Covid 19
closure of businesses.
Government measures in key jurisdictions
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