Taxman and others, cometh

2016-09-22 06:00

FOR many years and throughout South Africa, some people who own second or third homes in one or other popular destination have, on an ad hoc basis, hired out their properties usually during peak season and at peak prices.

They see this as a means of not only realising a nice income but also to offset things like rates, levies and maintenance costs. When the income-generating weeks have come and gone, these owners have the luxury of their paid-for getaways for the rest of the year.

Some would say that this is a prudent way to own holiday homes, but unfortunately, these unethical part-time tourism practitioners do not always declare their rental incomes so in essence are in transgression of our tax regimen.

Furthermore it is likely that the said properties are not on the municipal books as a form of commercial enterprise which has ramifications in terms of rates and local authorisations, etc. I guess that municipalities are losing significant rates and other revenues as a result of non-disclosure of commercial activity by owners keeping under the radar.

In our hospitality industry and among our membership there are very committed owners and proprietors who ensure that they are compliant with all government and SARS requirements so it is a great pity that their honest operations can be undermined by certain unscrupulous people earning the proverbial buck by bucking the system.

It is grossly unfair that properties that do comply, pay taxes, advertise and register with all sorts of tourism organisations (all at cost) are from time to time faced with competition on an uneven playing field.

I know that the authorities are looking into this so that all income-deriving properties are properly registered with SARS, local authorities and tourism organisations and that letting agencies are compelled to ensure that properties are compliant in this regard.

It won’t be long before some sort of inspector goes knocking on doors armed with a mandate to fine or intention to prosecute.

Before the busy summer season comes around, I really urge those who are contemplating cashing in on tourism’s sacred cow to make sure they have all the right registrations in place - we have a membership officer who can assist.

So if you see somebody beneath a deerstalker, tweed attired, stooping over a magnifying glass and being towed by a saliva-spewing bloodhound, it could be the day the authorities decided to act firmly against those who are not playing ball. They are coming.

Join the conversation! encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

We reserve editorial discretion to decide what will be published.
Read our comments policy for guidelines on contributions.

Inside News24

Competition regulation for a growing and inclusive economy

ADVERTORIAL: The Competition Commission of South Africa is conducting advocacy work in the South African automotive aftermarket industry and has gazetted a Draft Code of Conduct for public comment.


10 gorgeous plus-sized models who aren't Ashley Graham

Here are just ten of our favourite plus-sized models:


You won't want to miss...

WATCH: Pornhub is giving users free access to premium content these holidays
5 top leg exercises for men
10 best dressed men of 2017
How to open a beer bottle without an opener
Traffic Alerts
There are new stories on the homepage. Click here to see them.


Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.

Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire network.


Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.

Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.