Johan joined STBB in 2013 and works in the Cape Town office where he specialises in tax structuring and commercial drafting.

Thought of the Week | New VAT rate and municipal services

Invoices for municipal services are usually issued after the services have been rendered. Therefore, if invoices for services actually rendered during March 2018 are issued for payment on or after 1 April 2018, VAT will be charged at 14%. VAT on services rendered on or after 1 April, will be levied at 15%.

Charges for property rates will however not be affected as these charges are subject to VAT at the zero rate.

For more on the VAT changes, read here.