Please refer below for a list of relief measures and links to the various relevant websites. If you have any uncertainty regarding the below please contact us to discuss your concerns.
Essential service providers:
IDC Disaster Relief Funds for businesses providing essential services. Please click here for more information and application.
If you are a business supplying essential services you can apply for a certificate, please click here.
SMME registration and application:
The Department of Small Business Development has made funds available to small businesses (a turnover of less than R50m per annum) who are 100% South African owned and who’s workforce comprises of 70% of South African citizens. Qualifying small businesses can apply to the relief fund, but you will be required to show the impact that COVID-19 has had on your business, please click here for more information and application. You can register your business for the SMME Debt Relief Fund at The SMME Registration website, please click here to register.
COVID-19 Temporary Employer/employee relief scheme (TERS)
The scheme was created to help employers who were forced to shut down their businesses and can’t pay the full salaries of the workers they send home due to the lockdown. These employers can apply for funds to pay salaries on their behalf for a period of 3 months. There are various requirements that you need to comply with to qualify for this. The Department of Labour has published new regulations that outline the new scheme. Employers can apply by reporting their closure by emailing covid19ters@labour.gov.za and there shall be an automatic response outlining the application process.
SARS PAYE Deferral
For tax compliant small businesses with a turnover of less than R50 million, SARS has granted a four month payment deferral of 20% on their PAYE liability. This is however, merely a deferral of PAYE payments between 1 April 2020 and 31 July 2020 and the deferred PAYE liability must be paid to SARS in equal instalments over six months from August 2020 (your first payment will need to be by 7 September).
SARS Provisional Tax Deferral
Again only for tax compliant, small businesses with a turnover of less than R50 million, SARS has granted a 12 month proportionate payment deferral on provisional tax. This deferral commences on 1 April 2020 and goes up to 31 March 2021.
- The first provisional tax payment due from 1 April 2020 to 30 September 2020 will be based on 15% of the estimated total tax liability,
- The second provisional tax payment from 1 April 2020 to 31 March 2021 will be based on 65% of the estimated total tax liability.
- The third- or deferred payment will require the full tax liability to be paid in order to avoid interest charges.
Employment Tax Incentive (ETI)
The Employment Tax Incentive (ETI) programme was introduced in January 2014 to promote employment, particularly of young workers. In order to minimise the loss of jobs during the national disaster currently experienced, Government proposed the expansion of the ETI programme for four months (1 April 2020 to 31 July 2020).
Existing benefit requirement: Employee must be between 18 and 29 years of age, earn a maximum salary of R6,500 per month. The employer can claim R1,000 per month for the first 12 months and R500 per month for the next 12 months for up to 24 months in total.
Amended benefit: The employer can increase the ETI claim by R500 per month for eligible employees as per the existing benefit for four months (1 April 2020 to 31 July 2020), and employees between the age of 30 and 65, earning less than R6,500 per month can now also qualify for a R500 claim by the employer for the four month period (1 April 2020 to 31 July 2020).
Employee Illness Compensation
Should any of your employees contract the dreaded COVID-19 whilst at work, their medical expenses can be claimed from the Compensation for Occupational Injury and Disease. For more info, visit this link. This will end up helping a lot of staff, so please take action if you can.
Rupert family donation
Business Partners will administer the R 1 billion fund donated by Johann Rupert to assist companies in distress through this lock down and virus. Please click here to contact them directly.
Oppenheimer family donation
The South African Future Trust (SAFT), established by Nicky and Jonathan Oppenheimer, will make funds available to South African businesses impacted by coronavirus from 3 April 2020. Click here to read more.
Tourism relief funding
There is tourism relief funding available for SMMEs in the tourism and hospitality sector who are under stress due to travel restrictions, please click here.
NEF disaster relief fund for black owned businesses
NEF Disaster Relief Fund for Black Owned Businesses providing essential services. Please click here for more details.
Relief for artists and athletes
There is also a disaster relief fund for artists and athletes available, please click here.
If you need support to apply for any of these funds, please contact us, we will assess if you qualify and guide you. Please stay safe and healthy!
For more useful links click here!
This article is a general information sheet and should not be used or relied upon as professional advice. No liability can be accepted for any errors or omissions nor for any loss or damage arising from reliance upon any information herein. Always contact your financial adviser for specific and detailed advice. Errors and omissions excepted (E&OE)