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March 18, 2017

Easy BEE Points using learnerships and employment tax incentives

Welcome to all our new subscribers. Hope you will find value in this newsletters.

From 2017, with the effect of the new BEE legislation, the question most business owners ask are … how to earn BEE points on my scorecard.

We spend many hours working towards a BEE scorecard solution for you!

BEE scorecard is calculated based on these factors:

- Ownership

- Management control

- Skill development / learnership

- Enterprise & supplier development

- Socio-economic development initiatives

- Responsible social marketing and communications

To earn a potential huge amount of points one needs to concentrate on enterprise & supplier development as well as learnerships as part of the BEE certificate process.

Below we will elaborate on using learnerships and employment tax incentives as a combination.

In short, you would to increase the amount of learnership to the leviable amount of your payroll.

Through this will receive an increase amount of weighting points towards your BEE scorecard.

Your income tax benefits for learnerships are as follow:

1. Annual tax deductible allowances for newly entered and completed qualifying learnerships.

2. By using the youth employment incentive from SARS for employees earning between R 2,000 and R 6,000 per month.

The above is a very short summary of a potential increasing way to improve your BEE scorecard. It will require a lot more consultation to fully prepare your company for this, but it will be worth every second of your efforts.

Feel free to contact us to assist you further

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