Dividends in trading and investing
Dividends in trading and investing Dividend investing can be a solid strategy, so it’s worth knowing how dividends work What is a dividend? A dividend is a payment made by a company to its shareholders. Dividends are usually paid at a specific frequency—quarterly, semi-annually, or yearly. The size and payment of a dividend is determined […]
What constitutes a dividend?
Although there are several exclusions to the general rule, South Africa applies a withholding tax on dividends declared by companies at a rate of 20%. It is essential to appreciate that such a withholding obligation for companies do not arise only on “ordinary” dividends but that the concept of what constitutes a dividend, goes much wider. The Income Tax […]
2019 Tax legislative amendment: Dividend stripping
The 2019 tax legislation amendment cycle commenced on 25 June, when National Treasury issued the initial batch of the Draft Taxation Laws Amendment Bill which covers specific provisions that require further consultation. National Treasury will be publishing the full text of the 2019 Draft Taxation Laws Amendment Bill for public comment in mid-July 2019. One […]