A venture capital deadline approaches
Venture capital companies have another 18 months to demonstrate the validity of their views to Sars
The Section 12J Venture Capital Company (VCC) sector is fast approaching its moment of reckoning, as a sunset clause comes into effect in June 2021.
"According to the SA Revenue Service’s (Sars’s) ‘External Guide’ on VCCs, the purpose of this clause is to ‘allow a review of the effectiveness of the VCC regime’. It says: ‘a decision will be made as to whether it should be continued’," explains Natasha Wilkinson, tax attorney at Tax Consulting SA.