What does the budget 2018 mean for property owners?
Date posted: 27.02.2018 | Author: Denis Stupan
The finance minister delivered a “tough but hopeful” budget speech on 21 February 2018.
Some of the tax hikes that will affect consumers and property buyers include:
- VAT hike of 1%, from 14% to 15% which will affect everyone, save for the basket of exempt goods
- Marginal increase in upper income tax, but more relief for lower tax bracket
- Fuel levy hike which will of course have a knock-on effect on transport and living costs
The increases in VAT, income and fuel taxes will limit the ability of ordinary households to qualify for bonds and afford their own homes. Nevertheless, from a residential property point of view, there are no changes to transfer duty, the capital gains tax exemption on a primary home or the effective tax rates for capital gains.
The government has got little or no room to move, and with property price growth and the volume of sales at current levels, there was no expectation that transfer duty thresholds would be increased. The estate duty on estates above R30 million has been increased, which may impact on the luxury end of the market.. Renewed consumer confidence will be a key factor in improving property prices and demand in 2018.
Cape Town – day zero looms
Date posted: 23.01.2018 | Author: Denis Stupan
Cape Town residents will from February be limited to using 50 litres of water per person per day for the next 150 days, as “Day Zero” draws closer. “We have reached a point of no return. Despite our urging for months, 60% of Capetonians are callously using more than 87 litres per day. It is quite unbelievable that a majority of people do not seem to care and are sending all of us headlong towards Day Zero,” says City of Cape Town Mayor Patricia De Lille.
Day Zero is the day when taps will be closed and Cape Town residents will be required to get water from various designated water collection points. Due to the lack of cooperation by residents, the city had to implement level 6B restrictions that cuts the water usage of residents to 50 litres. The new restrictions will come into effect on 1 February 2018.
A punitive tariff
The Mayor says “ Council of Cape Town will on Friday be voting on implementing a punitive tariff that will charge residents exponentially higher rates for water usage above 6 000 litres per month.” The table below outlines the difference between the current and the proposed punitive tariffs:
|Consumption per month
||Current Tariffs – total household water bill
||New Tariff – total
household water bill
|6 000 litres
|10 500 litre
|20 000 litres
|35 000 litres
|50 000 litres
Date posted: 06.09.2016 | Author: Harry Bovensmann
SA’s economy grew much more than expected in the second quarter — by a seasonally adjusted and annualised 3.3% — after a 1.2% contraction in the first quarter. The economy expanded by 0.6% in the second quarter of 2016 compared with the second quarter of 2015, Statistics SA data showed on Tuesday.
Markets had expected growth of 2.7% in the second quarter compared with the first. Manufacturing and mining and quarrying were the main contributors to gross domestic product (GDP) as measured by production in the second quarter, data showed. Mining and quarrying grew by 11.8% largely as a result of higher production of platinum group metals. Only agriculture, forestry and fishing; and electricity, gas and water contracted in the second quarter.
On the expenditure side, spending on GDP grew 3.4% in the second quarter. Spending by households and government increased but gross fixed capital formation — mainly a proxy of spending by the private sector — fell by 4.6% in the second quarter. This was its third consecutive quarterly decline. The main reasons for the decline were falls in spending on construction works, and on machinery and other equipment.
Net exports contributed positively to total spending on GDP, data showed. Exports were up 18% while imports fell by 5%. There was a R23bn drawdown of inventories in the second quarter after a R1bn build-up in the first quarter.
[Read full article]
Customer Experience Management
Date posted: 01.09.2016 | Author: Harry Bovensmann
Customer Experience Management (CEM) has matured rapidly in South Africa and has become an inescapable, must-have for any company hoping to get ahead of the pack, according to Shannon Mackrill, joint managing director of Kinetic, a key strategic information provider to the IT and Telecoms sector. Kinetic presented the 5th annual CEM Africa Summit at the Century City Conference Centre in Cape Town last week. It was attended by over 440 customer experience (CX) professionals.
Customers must feel they can make decisions and be in control of the money they spend with a company. The loyalty of existing customers should be rewarded, while future customers are interested as well.
Customer experience management is not just a department. It is the basis for a sustainable customer experience. Bring the voice of the customer into the boardroom. Hear the customer’s voice on a daily basis. Do not compete with the rest, rather fix the basics. Deliver above and beyond and work towards leadership.
During the summit three game-changers on how to get CEM right became clear. These are that human interaction is very important, that there is a rise of the experience economy and a need for complete CEM transformation throughout an organisation.
[Read full article]
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