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Tax Savings - Financial Year End

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The S12J has been increasing in popularity over the last 2 years, with only 30 registered funds as at the beginning of the 2015 tax, compared to over 120 at the soon approaching end of the 2017 tax. We have also seen the flows into S12J increase, with one third of the current assets under management flowing into these funds just last year.   Pro’s:   Compared to the RA, the S12J has full liquidity, with no limit on what you can invest. Currently, SARS allows whatever investment amount you want in a S12J fund, with no limits like the RA or TFSA. This is a massive benefit for those falling into the higher tax bracket. This means regardless of what you earn, you will get back your full effective tax rate back on investment. For example, if you fall in the 45% tax bracket, and you invest R1 000 000 into a S12J, you will get the full R450 000 back in that tax year. This means you will receive R1 000 000 worth of investment at a purchase price of only R550 000. S12...
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AltCap , renamed BitCap

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There was a strategic decision to rename AltCap to Bitcap, just for today’s newsletter, how could we miss out on the hype and possibility to attract billions. Bitcoin has the whole world and every investor making predictions on where the Crypto ‘currency’ market is heading.   The latest of which is world renowned value investor, Warren Buffet. Stating that ‘cryptocurrencies will almost certainly end bad’. He does however admit ignorance around the topic of ‘cryptocurrencies’ which in the same breath is not too reassuring.   With no doubt that the price increases in Cryptocurrencies cannot continue, or can it? It is absurd that stay at home moms, car guards and even your local butcher is talking about bitcoin, but yet 15 years ago your go to apps and technology didn't exist? So are we just in another phase of change or is this just a bubble with a thick skin.   On a side note, complements of the season from the AltCap team, we hope y...
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AltCap Section 12J Intro

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Deton Private Wealth would like to welcome you to the first AltCap Venture Capital (PTY) LTD, a divisision of Deton Private Wealth, Newsletter. The purpose of this newsletter is to firstly introduce you to the world of Section 12J investing, if you haven’t already started investing, and secondly, to introduce you to AltCap and its team. So to avoid rambling on over Section 12J for too long, I will include the link to the AltCap website where we have an abundance of Section 12J information, and rather spend the time discussing the benefits of Section 12J. If you don’t know what a Section 12J is, then let me fill you in a little. This is an act of the SARS income tax act, which allows South African tax payers, companies or trusts to invest, and claim back up to 45% in income tax. Simply put, SARS wants you to invest in Venture Capital. So why the drive to get investment flows into the “risky” world of Venture Capital? Our main thinking behind this is to drive the S...
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