|"Goodbye Caird - Hello EconoBEE" - EconoBEE August 2006 Newsletter|
|Monday, 28 August 2006 13:26|
"Goodbye Caird - Hello EconoBEE"
by Keith Levenstein
New Codes to be issued this month?
By Gavin Levenstein
It had been reported that the dti will issue new codes of good
practice this month. Further reports say that the codes could be
gazetted shortly thereafter. It looks like they are now aiming at September.
There were over 200 submissions to the dti over the previous codes,
so we are all eagerly awaiting the latest information. We are not
expecting serious changes to the codes. However we expect the codes to
be simplified to make it easier for all companies to fully comply with
We see it as vitally important for the codes to be finalised and gazetted. This is to avoid the great amount of confusion about broad-based black economic empowerment. Please see Business Report of 8th August 2006.
QSEs will be able to do their own self rating.
Reported by Gauteng Business
It has been confirmed by Lionel October, deputy director general of
the dti that QSEs (qualifying small enterprises) can do their own BEE
self rating. This is good news in that it will save many small businesses
a fair amount of money in appointing a ratings agency to do their BEE
ratings each year. He also indicated that the new codes will make it
easier for businesses to comply. We hope that it will remove some of
the extra admin associated with BEE compliance. We believe that, if
government makes it easier to comply, there will be a better chance
that companies like yours will comply.
Tax Incentives for Structuring BEE Deals
by Cathy Bryant, Cathy Bryant Attorneys
The income tax act has made allowances for businesses to do BEE deals.
There are many tax breaks, especially when creating employee trusts to the
benefit of both the company and employees. EconoBEE is offering a half day
workshop in Sandton on 21st September during which I will be covering the
legal, and business issues and showing you how you can best structure your
next BEE deal. For more information please visit www.econobee.co.za
A gift for all readers
By Keith Levenstein
We have analysed the codes and produced two very nice Excel
spreadsheets showing the scorecards in detail - one for QSEs and one for
Generic. You can use the Excel spreadsheets to produce your own
scorecard, or try to understand how it works. We will happily email you
the QSE scorecard or Generic scorecards in Excel format once the new
codes are released. If you want us to email these documents to you please send an email to
and tell us which spreadsheet you require.
|Last Updated ( Monday, 28 August 2006 13:27 )|