Legal Matters

Legal Matters

Spoudazo Enterprises is a registered Public Benefit Organization with with PBO number: 930037272.  The exemption has been obtained from the SAID income tax exemption unit in Hatfield, Pretoria, South Africa, 0028.

A trust is used in this public benefit organisational environment in reaching the objectives of Spoudazo Enterprises because it offers flexibility of use. The purpose of the trust is to enhance the interests of the poor and needy, being mainly South African citizens. The focus areas of providing assistance will be in the areas of Welfare, Humanitarian, Health Care, Land And Housing, Education And Development Services.

Socio-economic Development (SED)

Spoudazo Enterprises focus on social economic development, ensuring that funds are channeled to benefit black individuals and/or black communities.

Proper documentation to serve as supporting evidence will be made available to the donors. This will enable the donor to earn SEB points in the process of Social Economic Development. All contributors will be furnished with the required documentation that will enable you to claim points on your B-BBEE scorecard for your SED contribution. Should the turnover of the donor be R10 million – R50 million per annum, 5 points on the SED scorecard for QSE’s and should the turnover of the donor be > R 50 million per annum, 5 points on the SED scorecard for Generics in the New Codes.

 

Enterprise Development (ED)

Spoudazo Enterprises also have enterprise development opportunities . Aside from helping to set up businesses and alleviate unemployment, there are significant tax benefits and B-BBEE scorecard points that may be earned by companies investing in the enterprise development.  All contributors will be furnished with the required documentation that will enable you to claim points on your B-BBEE scorecard for your ED contribution. New Code Rules with regards to ED are as follows:

  • QSE’s – 1 % of NPAT = 5 points for Enterprise Development
  • Generics - 1 % of NPAT = 5 points for Enterprise Development

 

SARS Matters

The trust has been approved as a public benefit organization in terms of section 30 of the Income Tax Act and the receipts and accruals are exempt from Income Tax in terms of section 10(1)(cN) of the Act.

The benefit organisation has been approved in terms of section 18A(1)(a) of the Income Tax Act and donations to the organisation will be tax deductible in the hands of the donors in terms of, and subject to, the limitations prescribed in section 18A of the Act.

In order to ensure deductibility of a donation, the donor should obtain a pre-numbered section 18A receipt from Spoudazo Enterprises that will indicate the following

  1. The reference number of the public benefit organisation;
  2. The date of the receipt of the donation;
  3. The name of the public benefit organisation which received the donation, together with an address to which enquiries may be directed;
  4. The name and address of the donor;
  5. The amount of the donation or the nature of the donation (if not made in cash);
  6. A certification to the effect that the receipt is issued for the purpose of section 18A of the Income Tax Act and that the donation has been or will be used exclusively for the object of the public benefit organisation in carrying on the public benefit activity.

Donations by or to the public benefit organisation are also exempt from donations tax in terms of section 56(1)(h) of the Act.

Bequests or accruals from the estates of deceased persons in favour of the public benefit organisation are exempt from the payment of estate duty in terms of section 4(h) of the Estate Duty Act, 45 of 1955.

Financial Matters

Core Audit in Bloemfontein is the respected auditors and Core BEE the respected advisors with regards to Spoudazo’s projects and BEE requirements.

Core Group's services are not limited to the traditional services rendered by auditors and accountants. They understand business and realize that clients have to function in a fast-changing and dynamic business environment that is characterized by high demands and a need for multi-skilled personnel. The Core Group is a firm of chartered accountants, which aims to add value to their clients’ businesses by delivering a series of diversified professional services.

The firm was originally founded in 1993 as Havenga, Rossouw, Viljoen and partners, and is situated in Bloemfontein where they render services to clients across South Africa. For the past twenty years HRV was on a journey of evolving from a small one partner firm, to a multi-functional group of service companies. The new brand as The Core Group was established in 2014 as the time had come to celebrate the past 20 years but also to embrace the future for change, something brand new for the future journey. Partnerships with specialists in different service areas and industries were formed to develop a wide range of quality and professional services for their clients. New emphasis is being placed on these high-quality services to better serve their clients and their businesses.

Please visit www.thecoregroup.co.za for the latest news and all the relevant information regarding the services of The Core Group.

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