New Companies Act:
The future of Close Corporations
Registration of Close Corporations (CC) will cease under the new Companies Act which comes into effect on 1 May 2011; however currently registered Close Corporations will still be maintained.
The new Companies Act provides for the continued existence of currently registered Close Corporations (CC), but negates any further registrations of new CCs. All existing CCs registered with the Companies and Intellectual Property Registration Office (CIPRO) as of the effective date of the new Act (1 May 2011) will continue to exist, and all amendments to CCs will be accommodated by the new Companies Intellectual Property Commission (CIPC) which is scheduled to be implemented at the same time that the act is put into effect.
Conversion to private company
The new Act does not force Close Corporations to convert into companies, however due to simplified legislation, reduction of regulatory burden, and simplicity of formation – this is encouraged. The Private Company will replace the CC as the preferred vehicle for small and medium businesses under the new Act.
The Companies and Intellectual Property Commission
As provided for in the New Companies Act 71 of 2008, CIPRO and the Office of Companies and Intellectual Property Enforcement (OCIPE) will join to form a Commission on the 1st of May 2011. The Commission will be known as the Companies and Intellectual Property Commission (CIPC).
The Commission will perform the following functions:
Registration of Companies, Cooperatives and Intellectual Property rights: public education and awareness, enforcement, research, legal advisory services and stakeholder management.
Categories of companies
The new Companies Act provides for two categories of companies:
Please view the other news items below:
Budget 2012 highlights - click to read more
Changes to provisional tax legislation - click to read more
Changes to travelling allowance - click to read more
Voluntary Disclosure program - click to read more
New Companies Act - click to read more
Implementation of the Companies and Intellectual Property Commission - click to read more
SARS – changes to bank details - click to read more
New Consumer Protection Act - click to read more
New Consumer Protection Act – registration of business trading names - click to read more
New Tax Administration Bill, 2011 penalties - click to read more
1 March 2009: Voluntary registration VAT threshold increased to R1 million
1 May 2011: Implementation of new Companies Act
1 May 2011: Companies and Intellectual Property Commission (CIPC) replaces CIPRO
31 October 2011: Closing date for applications in respect of the Voluntary Disclosure Program
28 February 2013: Odometer day - record closing kilometres travelled where you are in receipt of a travelling allowance
31 May 2013: Deadline for submission of 2013 annual PAYE reconciliation and registration of employees for income tax
30 August 2013: First provisional payment and return due for 2014 tax year
30 September 2013: Third (voluntary) provisional payment for 2013 tax year
30 September 2013: Deadline for submission of postal/SARS drop box income tax returns (Provisional and Non-provisional: Individuals and Trusts) – 2013 tax year
31 October 2013: PAYE Interim Reconciliation (six-month interim reconciliation for the period 1 March to 2013 to 31 August 2013)
22 November 2013: Deadline for submission of efiling/branch income tax returns (Non provisional: Individuals and Trusts) – 2013 tax year
31 January 2014: Deadline for submission of efiling/branch income tax returns (Provisional: Individuals and Trusts) – 2013 tax year
28 February 2014: Second provisional payment and return due for 2014 tax year
28 February 2014: 12 months after financial year-end 2013: Submission of IT14 and IT12EI income tax returns for companies and exempt institutions – 2013 tax year