Seminar: ITR12T (the new trust tax return) – 4 CPD hours – May 2015

Overview 

The ITR12T was introduced by SARS on 6 October 2014, and from the 2015 year of assessment onward, the completion of all relevant ITR12T fields will be compulsory.

The substantial increase in information disclosed in the ITR12T will now give SARS an unprecedented ability to assess the use of trusts by taxpayers for tax planning. SARS will also be able to determine whether the taxable income of the trust and all parties related to the trust is being, and has been correctly disclosed.

In order to complete the ITR12T correctly, taxpayers require a detailed understanding of the legal and Income Tax Act-specific references used in the return. Taxpayers must also understand all the tax consequences of the increased disclosure, in order to ensure the correct tax treatment of transactions between the trust, trust beneficiaries and any donors to the trust.

This seminar will focus on the specific questions raised in the return to assist taxpayers in:

  • understanding the relevant terminology,
  • gathering the information required to complete the return,
  • and understanding the impact of the increased disclosure from a tax perspective.

Issues to be addressed

Type of trust

  • Ownership vs bewind
  • Testamentary vs Inter vivos
  • Vesting vs discretionary
  • Personal service provider

Trustees

  • Particulars required in the return
  • Timeous and valid trustee resolutions
  • Personal liability for tax debts of the trust
  • Beneficiaries
  • Particulars required in the return
  • Right to income, capital and capital gains
  • Use of loan accounts
  • Effect of changing beneficiaries

Trust income

  • Donors and deemed accruals (section 7)
  • Effect of interest free loans
  • Waiver of loans to a trust, donations tax and effect of the debt waiver provisions
  • Apportionment and deduction of expenses incurred by the trust

CGT

  • Taxation of capital gains (attribution rules paragraphs 68-72)
  • Clogged losses

Offshore trusts

  • Place of effective management
  • Taxation of trust founder and resident beneficiaries
  • Taxation of non-resident trust income and capital

Who should attend

  • Persons involved in financial advisory services, estate planning and real estate
  • Tax specialists
  • Practicing accountants and lawyers
  • In-house tax managers and advisors
  • Financial directors and managers and business owners
  • Trustees and trust beneficiaries
  • Property developers

Continuing Professional Development (CPD)

Attendance of this seminar will accrue 4 hours’ CPD for members of a relevant professional body such as ACCA, SAICA, AAT, SAIPA, SAIBA, IAC, CSSA, ICBA, LSSA, FPI, and the IBA.

ACCA is a full member of IFAC. The ACCA CPD policy is compliant with IFAC IES7 and is recognised by SAICA, AAT, SAIPA, SAIBA, IAC, CIS and others.

Cost

  • R 950.00 per person (incl. VAT)

When and where

All seminars will run from 08h30 to 13h00.

  • 13 May – 17 The High Street, Melrose Arch, Johannesburg
  • 20 May – Fancourt Hotel, Montagu Street, Blanco, George
  • 21 May – Elizabeth Place, 20 Pickering Street, Port Elizabeth
  • 26 May – Sahara Stadium Kingsmead, The Conference & Banqueting Venue, 2 Kingsmead Way, Durban

Click here for more information and registration.