Page 61 - P6 Slide Taxation - Lecture Day 4

 A distribution by a company is either a dividend

• Or a return of capital.

• Dividends tax is levied at 15% on dividends paid.

• Dividends tax is levied on the beneficial owner (usually the

shareholder) but the company has to withhold it.

• Dividends tax on in specie dividends is levied on the

company.

• Certain dividends are exempt from dividends such as dividends

paid to sa resident companies and pension funds.