Government measures in key jurisdictions 3rd edition final - Flipbook - Page 114
SouthAfrica
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Litigation
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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
Has any new
legislation been
introduced in light of
Covid-19?
The Government of the RSA has introduced the following tax relief measures for employers and employees:
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114
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.
From 1 April 2020, an expanded employment tax incentive of R750 per month for qualifying lowincome employees for a period of four months.
Deferral, for a period of four months, of 35% of employees tax (“PAYE”) payable by tax
compliant SMMEs (without penalties or interest).
Increased deductions from PAYE of certain tax-deductible donations made by employers on behalf
of employees.
From 1 May 2020, a four-month holiday for skills development levy contributions (1% of total
salaries) applies.
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.
Amounts received by employees on behalf of employers from a COVID-19 disaster relief organisation
may be deducted or excluded from the calculation of remuneration for purposes of PAYE.
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A deferral, for a period of 12 months, from 1 April 2020 to 31 March 2021, of a portion of provisional
tax liabilities.
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The first provisional tax payment is reduced to 15% (as opposed to 50%) of the estimated total tax
liability, while the second provisional tax payment is reduced to 65% (as opposed to 100%) of the
estimated total tax liability. The remaining 35% tax liability is payable with the third provisional tax
payment.
Government measures in key jurisdictions