Doing Business in South Africa
South Africa remains one of the continent’s key gateway economies, with strong industrial capability, mature financial systems, and direct access to broader African markets. This guide highlights the practical business, labour, and regulatory context that investors should understand when operating from Dube TradePort.
BUSINESS ADMINISTRATION
South Africa has long operated in the international business community and has, thus, developed a sound reputation and adopted international best practices across the business community and within its many institutions. From the management of financial controls, processes and operations, public and private sector business procedures in South Africa reflect local realities, whilst meeting and, in many instances, exceeding international standards.
TAXATION
Comprehensive South African tax information is available on the South African Revenue Service's (SARS) website: www.sars.gov.za.
TAXATION
Comprehensive South African tax information is available on the South African Revenue Service's (SARS) website: www.sars.gov.za.
This site also offers practical advice and guidance with regard to registering with the tax authority. The country's many accounting firms also provide a detailed service in this regard.
IMPORT/ EXPORT LICENCING
Companies that are operating in South Africa are required to register with SARS as importers and/or exporters if their intention is to import or export goods into/out of the country.
IMPORT/ EXPORT LICENCING
Companies operating in South Africa are required to register with SARS as importers and/or exporters if their intention is to import or export goods into/out of the country. In addition, it may be necessary to obtain an import and/or export licence from the International Trade Administration Commission, dependent on the nature of the goods being imported or exported.
From a customs perspective, a number of legislative rules and procedures apply to the importation or exportation of goods. Further, the importation or exportation of goods constitutes an interplay with the Value Added Tax Act, which must be considered by organisations/persons conducting such activities, so as to minimise tax risk.
Dube TradePort Special Economic Zone is designated as a Customs Controlled Area, enabling qualifying and registered enterprises located within the precinct to secure rebates on certain imports and exports, so improving the competitiveness of their goods.
For further information regarding tax requirements within Special Economic Zones, please visit:
CORPORATE INCOME TAX
Corporate Income Tax (CIT) applies to the world-wide income of companies which are domiciled in South Africa by way of incorporation under domestic law and companies which are
CORPORATE INCOME TAX
Corporate Income Tax (CIT) applies to the world-wide income of companies which are domiciled in South Africa by way of incorporation under domestic law and companies which are effectively managed in the Republic.
CIT may also be levied on foreign companies which derive income from a South African source - subject to any applicable double taxation relief. Where a non-resident company operates through a branch or a permanent establishment within the Republic, it is subject to CIT on all income received from a South African source, where this income is attributable to such branch or permanent establishment. South Africa's corporate income tax rate is 28% and 15% within Dube TradePort Special Economic Zone for qualifying enterprises.
LABOUR ADMINISTRATION
A range of labour laws have been enacted and are applicable to businesses. The said laws both address the general aspects of labour and set out to redress past inequalities. South Africa’s labour laws are necessarily complex and a good working knowledge of relevant legislation is vital. In this regard, the One-Stop-Shop facility has been created to assist investors navigate legislation and facilitate contact with relevant authorities which will assist them with compliance. The relevant legislation, together with practical guidelines are freely available on the South African Department of Labour’s website: www.labour.gov.za
BUSINESS LEADERSHIP SOUTH AFRICA (BLSA)
Representing South Africa's largest businesses:
Tel: +27 11 356 4650
BUSINESS UNITY SOUTH AFRICA (BUSA)
Representing businesses across theeconomy:
Tel: +27 11 784 8000
DURBAN CHAMBER OF COMMERCE AND INDUSTRY
Represents Durban's business community:
Tel: +27 31 335 1000