3 February 2020
Proposed regulations on accounting standards applicable to trading entities have been drawn up.
National treasury seeks comment on the draft regulations in Government Gazette 42980.
They were drawn up in terms of the Public Finance Management Act.
Standards prescribed for the annual financial statements of trading entities with effect from 1 April 2020 include GRAP 20 on Related Parties; GRAP 32 on Service Concession Arrangements: Grantor; GRAP 108 on Statutory Receivables; GRAP 109 on Accounting by Principals and Agents; and GRAP 110 on Living and Non-living Resources.
Comment is invited within 30 days of the date of publication.
Meanwhile, in Board Notice 5, the Accounting Standards Board seeks comment on the Invitation to Participate in The Post-Implementation Review of the Standard of GRAP on Heritage Assets (GRAP 103) (ED 180).
The aim of the review is to assess whether the Standard is achieving its intended objectives and to identify issues experienced in practice.
Comment on ED 180 is invited until 15 September 2020.
In Gazette 42985, the South African Revenue Service has published amendments to Schedule 1 of the Customs and Excise Act:
• Notice 81 – Amendment to Schedule No. 1 to implement the revised Tariff Rate Quota in terms of the Economic Partnership Agreement (EPA) – with retrospective effect from 1 September 2019 to 31 December 2019;
• Notice 82 – Amendment to Schedule No. 1 to implement the revised Tariff Rate Quota in terms of the Economic Partnership Agreement (EPA) – with retrospective effect from 1 January 2020.
In a separate matter, treasury has, in a statement, following the publication of the International Monetary Fund (IMF) Article IV report on South Africa, reiterated that it remains “committed to implementing prudent fiscal policy to achieve a low primary balance, excluding Eskom provisions, by 2022/23 in order to ensure a stabilisation of debt by 2025/26”.
The IMF visited South Africa in November last year to conduct economic and financial assessments of government policies and provide policy recommendations.
The IMF recommended that South Africa implement structural reforms in order to boost economic growth including “reducing the cost of doing business, streamlining operations of SOEs, releasing the spectrum, improving governance, promoting competition in product markets and addressing labour market issues”.