Page 3 - KZN Business Sense Vol.2 No.5

NO LIMITATIONS
part in KPMG’s development
Neo Shabalala is the Director of programme, which includes soft
Technology Advisory and Head of Public skills training in presentation,
Sector at KPMG KwaZulu-Natal. business development, business
writing and advisory training
Neo Shabalala lives by amongst other courses.
the personal mantra:
“I can do anything as “I have learnt from the people
long as I set my mind to it.” She around me through observation
added, “I believe that there are no and from evaluating their journeys
limitations to what I can do and critically. I am also aware of my
achieve.” own self-learning, which has
prompted my development,” added
These beliefs have served Shabalala. These opportunities
Shabalala well and have allowed along with her personal ambition
her career path to change and have allowed her career to
grow over time. Shabalala’s advance and branch out into new
childhood years were spent in responsibilities.
Lesotho where she completed her
schooling. Her tertiary education “I have learnt to make myself
started in Grahamstown known for my skills and
and continued in Durban. capabilities and while I still have
Shabalala completed a Business a reserved personality, I allow my
Management and Administration successes to speak for myself,”
Diploma at Varsity College, said Shabalala. “I allow my
a Bachelor of Commerce in delivery to reflect my abilities and like to collaborate; you can always
Information Systems at UKZN, I constantly evaluate what people
followed by Honours Bachelor of and clients require from me. But
Science in Information Science at most importantly, I remain true
UNISA. to myself,” she said. As her father
raised her, Shabalala has not felt
Her career has not always been that being female has limited her
smooth sailing; an initial challenge career in a male dominated world.
experienced was that of entering
the job market. Her childhood in A highlight of her career was
Lesotho had not prepared her for becoming one of the youngest
the world of work and she found Partners at KPMG KwaZulu-
that the cultural differences were Natal. “This was a hugely exciting
difficult to adjust too. Shabalala milestone in my career,” said
also initially found herself lacking Shabalala.
in self-confidence and was unable
to sell her strengths sufficiently. Being Head of the Public Sector
involves acting as coordinator
Working at KPMG has enabled for the firm’s biggest client.
her to overcome these obstacles. Shabalala assists with the KPMG
KPMG allows innovation and public sector’s performance
employees are encouraged in the marketplace, including
to take on different roles and ensuring that regulatory
responsibilities, according to their requirements are adhered to.
specialisation. Shabalala took Her responsibilities comprise
Time to revisit trust structures?
Yasmeen Suliman, the current rules governing the
Director: taxation of trusts. As a result
Corporate Tax, of this, the tax return related to
KPMG Services trusts was completely redesigned
(Pty) Ltd last year so that SARS could
gather more information on
T trusts and its transactions with
donors and beneficiaries.
rusts are
popular Some drastic legislative changes
vehicles were also proposed in previous
for estate years but were withdrawn prior
to being finalised. Taxpayers
planning, asset protection and may not be so lucky with this
the reduction of tax through year’s round of tax amendments
income splitting. and in the future due to the
Davis Tax Committee proposals.
It is well known that National
Treasury and the South African This year’s tax amendments
Revenue Service (SARS) are targets the transfer of assets to
not completely satisfied with a trust, utilising an interest-
free or low interest loan to fund
the transaction – in terms of
the proposed amendment, the
monitoring and evaluating
strategy implementation. Shabalala
was well prepared for this role
having worked with all spheres of
government as well as state owned
enterprises as her clients. One of
Shabalala’s areas of expertise is
Enterprise Architecture and IT
Strategy.
Shabalala’s job roles include
being chairperson of the KPMG
transformation committee. This
committee promotes diversity
within the firm and ensures that
there is equal opportunity and
fairness among employees in the
workplace.
“I thoroughly enjoy watching
other people grow and I love
mentoring people. Being a leader
provides me the opportunity to
engage with the team and adopt
an inclusive approach to tasks. I
learn from the input of others and
I enjoy brainstorming sessions.
However, I will take control when
required,” said Shabalala.
Shabalala has recently worked
on a project that has been very
complex and challenging. She
said, ‘I have been challenged to
my core but I have learnt a lot
about stakeholders and risk on
a daily basis. The project has
included interactions with multiple
stakeholders and has involved
much time, which has resulted
in high profile changes to an
organisation’s DNA.”
In response to her current roles,
Shabalala said, “I feel that I am
now able to enjoy the fruits of my
hard labour. My focus is now on
consolidation within my work
roles and responsibilities. I would
interest forgone on the loan
to the trust will be deemed to
be an ongoing donation, with
donations tax having to be
accounted for each year.
If the recommendations of
the Davis Tax Committee are
accepted, the following changes
may be made to tax legislation in
the near future:
Where a connected person has
provided a loan to a trust and
the loan is interest-free or bears
low interest, then that person
could be regarded as having de
facto control over the trust, and
the trust assets may be included
in that person’s estate for estate
duty purposes.
Only where a discretionary
trust confers upon its
like to build my personal brand,
solidify and build what I am The book also reflects the
about.” importance of time out to
Shabalala as it allows her to be
During the past 18 years, silent and to reflect on and choose
Shabalala, who is married, her future path. “I am constantly
spare time was very focused on reinventing myself,” she added.
her daughter who is a talented One of her dreams is to take up a
gymnast. Now that her daughter much bigger role within KPMG.
is studying architecture at “I believe that I am destined for
the University of Cape Town, greatness and intend to grab
Shabalala has more spare time and onto success with two hands
enjoys relaxing at home in front and make it happen,” concluded
of the television and running for Shabalala. n
exercise. She also enjoys reading
motivational books when on KPMG KwaZulu-Natal
holiday and is currently reading Tel: +27 (0) 31 767 0625
Time to Think by Nancy Kline. Fax: +27 (0) 31 - 767 3280
www.kpmg.co.za
Neo Shabalala
beneficiaries an indisputable and using a trust may be soon be lost.
irrevocable vested right to both This does not mean that trusts
the capital and income of a trust are no longer relevant – on the
should the income, both capital contrary, trusts could still be
and revenue, be taxed in the an effective structure for asset
hands of the beneficiary. Where protection and estate planning
this is not the case, the income in the light of capital gains
and capital gains will be taxable tax being applicable on death
in the hands in the trust at the and the Davis Tax Committee
trust tax rate. recommending that the estate
duty tax rate be increased from
The Davis Tax Committee 20% to 25%.
also has recommended that
more SARS resources be However, the proposed
allocated to risk-profiling and amendments to trust legislation
examination of trust structures does mean that taxpayers need
on registration of the trust and to plan new trust structures
upon transfer of assets, which carefully and re-examine the
means more audit activity would structure of their existing trusts
ensue. to consider restructuring these
to be more tax efficient. n
It appears that the ability to
easily transfer assets to a trust Tel: 082 778 1031
and to split income through Email: yasmeen.suliman@kpmg.co.za
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