Regulations and Guidelines – Coronavirus Covid-19

Please visit https://www.gov.za/coronavirus/guidelines for any additional updates or guidelines

Regulations

Core lockdown regulations

Directions

Other lockdown regulations

Disaster management guidelines and notices

Disaster Management Act 

Department Information – Coronavirus Covid-19

Please visit https://www.gov.za/Coronavirus for any additional updates or guidelines

Schools will be closed from Wednesday, 18 March, and will remain closed until further announcement

To compensate, the mid-year school holidays will be shortened by a week.

Basic Education

On Learner Support Programmes

Department of Basic Education (DBE) together with provinces has prepared online and broadcast support resources comprising subject content and a focus on Grade 12 learners and the promotion of reading for all the grades.

The department is working closely with key Partners to coordinate and make available content tailored to support our learners’ educational and health needs during this time.

The DBE website has been updated with current and relevant content inclusive of reading resources and websites. Other content which is available on websites of our partners has also been made available through links on the DBE website on www.education.gov.za.

Basic Education and SABC launch Coronavirus COVID-19 TV and radio curriculum support programmes for learners

The Department of Basic Education and SABC have launched a multi-media learner support initiative under the banner: COVID-19 Learner Support aimed at limiting the impact of the lockdown to the school calendar.

The programme is scheduled to start on 9 April 2020 and will broadcast across three SABC TV Channels and 13 Radio stations with online support.

The TV Schedule is as follows:

SABC 1: Mon – Sun 05h00 – 06h00
SABC 2: Mon – Fri and 09h30 -11h00
SABC 3: Mon – Fri 06h00 – 07h00

The radio slots
https://www.gov.za/sites/default/files/gcis_documents/radio.pdf

Western Cape Education Department

The WCED’s ePortal has been updated for home learning. We encourage parents and learners to visit this site: https://wcedeportal.co.za/

There are also a variety of examination papers for various grades available on our website for download: https://wcedonline.westerncape.gov.za/exam-papers.

Higher Education & Training

Online Learning

A process is underway to upload previous examination papers for students to work through in preparation for examinations. Colleges will be informed on how students can access these examination question papers.

NSFAS COVID-19 contingency plan and disbursements

All NSFAS funded and registered students will receive their allowances during the recess.

Resources

Covid-19 Curriculum Support Programme for Grade 12 Learners on radio

Lockdown

Please note amendment to regulations as published on 2 April 2020

The nation-wide lockdown will be enacted in terms of the Disaster Management Act and will entail the following:

  • From midnight on Thursday 26 March until the end of April all South Africans will have to stay at home.
  • The categories of people who will be exempted from this lockdown are the following: health workers in the public and private sectors, emergency personnel, those in security services – such as the police, traffic officers, military medical personnel, soldiers – and other persons necessary for our response to the pandemic.

It will also include those involved in the production, distribution and supply of food and basic goods, essential banking services, the maintenance of power, water and telecommunications services, laboratory services, and the provision of medical and hygiene products. A full list of essential personnel will be published.

  • Individuals will not be allowed to leave their homes except under strictly controlled circumstances, such as to seek medical care, buy food, medicine and other supplies or collect a social grant.
  • Temporary shelters that meet the necessary hygiene standards will be identified for homeless people. Sites are also being identified for quarantine and self-isolation for people who cannot self-isolate at home.
  • All shops and businesses will be closed, except for pharmacies, laboratories, banks, essential financial and payment services, including the JSE, supermarkets, petrol stations and health care providers.

Rail

  • All long-distance passenger rail services, both public and private, will stop operations for the duration of the lockdown. Services of Shosholoza Meyl, Premier Classe and Blue Train operated by PRASA and Transnet respectively, have already been suspended. The new regulations mean that private rail operators such as Rovos Rail will also cease operations.
  • All commuter rail services will shut down for the duration of the lockdown. This includes all Metrorail and Gautrain services.

Aviation

  • All international and domestic flights are prohibited, irrespective of the risk category of the country of origin.
  • Only essential air cargo will be allowed. However, cargo from high risk country must be sanitized.

Maritime

  • The ban on cruise ships calling at any of our Sea Ports will be strictly enforced.
  • Essential cargo will be allowed at our 8 Sea Ports. However, cargo from high risk countries must be sanitized.

Taxis

Effective from 30 March 2020 until Friday, 3 April 2020, buses and taxis will be permitted to operate from 05:00 until 20:00 in order to cater to the transportation needs of society’s most vulnerable. (https://www.gov.za/speeches/minister-fikile-mbalula-relaxas-hours-public-transport-vehicles-grant-beneficiaries-29-mar)

Minibus taxis

  • As part of the relief measures for small businesses in distress as announced by the President, those taxis that have been financed by the National Taxi Finance administered by the Small Enterprise Finance Agency (SEFA) will be granted a 3 months repayment holiday. Commercial banks are also considering similar measures.
  • Minibus-Taxis will be allowed to transport essential services workers and those allowed to make the necessary permitted movements. Transport movements in this regard will be allowed to operate from 05h00 to 09h00 and again from 16h00 to 20h00.
  • Operators should put measures in place to adhere to social distancing in order to curb the spread of the virus.
  • All minibus-taxis must be sanitized after every trip.
  • All taxi ranks must be sanitized at regular intervals.
  • Where appropriate, government will provide assistance.

Metered taxis and e-hailing

  • Metered Taxis and e-Hailing vehicles will be allowed to transport essential services workers and those allowed to make the necessary permitted movements. Transport movements in this regard will be allowed to operate from 05h00 to 09h00 and again from 16h00 to 20h00.
  • Metered Taxis and e-Hailing vehicles must be sanitized after each journey. The industry will take responsibility for this. Where appropriate government will assist.
  • The number of passengers each vehicle is allowed to carry will be reduced. A vehicle licensed to carry up to 4 people will only be permitted to load 1 person. A vehicle licensed to carry up to 8 passengers will only be permitted to load a maximum of 3 passengers.
  • Sanitizers used in all taxi vehicles must have a minimum of 60% alcohol content.

Buses

Effective from 30 March 2020 until Friday, 3 April 2020, buses and taxis will be permitted to operate from 05:00 until 20:00 in order to cater to the transportation needs of society’s most vulnerable. (https://www.gov.za/speeches/minister-fikile-mbalula-relaxas-hours-public-transport-vehicles-grant-beneficiaries-29-mar)

  • Limited bus operations will be allowed to transport essential services workers and those allowed to make the necessary permitted movements.

Cross-Border Road Transport

  • All cross-border road passenger movements will be prohibited for the duration of the lockdown.
  • Cross-border freight movement for essential goods will continue to and from our neighbouring countries.

During the lockdown period most services rendered by our entities will be suspended. Vehicle Testing Centres and Drivers’ Licence Testing Centres (DLTCs) will be closed. Should your drivers’ licence expire during the duration of the lockdown it shall be deemed to remain valid until the end of the lockdown, with the grace period of renewal within 14 working days thereafter unless otherwise determined.

We will maintain skeleton staff for purposes of safe road operations, clearing of accidents, maintenance of tunnels as well as road traffic enforcement.

Hospitals and Centres of Disease Control – Coronavirus COVID-19

Designated hospitals for managing the COVID-19 cases

Limpopo

Polokwane Hospital
Address: Cnr. Hospital & Dorp St, Polokwane, 0699
Phone: 015 287 5000

Mpumalanga

Rob Ferreira Hospital
Address: General Dan Pienaar Street, Nelspruit, 1201
Phone: 013 741 6282

Gauteng

Charlotte Maxeke Hospital
Address: Parktown, Johannesburg, 2193
Phone: 011 488 4911

Steve Biko Hospital
Address: Steve Biko Road & Malan St, Prinshof 349-Jr, Pretoria, 0002
Phone: 012 354 1000

Tembisa Hospital
Address: 539-541 Reverend R.T.J. Namane Dr, Hospital View, Tembisa, 1632
Phone: 011 923 2000

KwaZulu-Natal

Grey’s Hospital
Address: The Msunduzi, Town Hill, Pietermaritzburg, 3201
Phone: 033 897 3000

North West

Klerksdorp Hospital
Address: John Orr St, Neserhof, Klerksdorp, 2571
Phone: 018 406 4600

Northern Cape

Kimberley Hospital
Address: 114 Du Toitspan Rd, Civic Centre, Kimberley, 8300
Phone: 053 802 9111

Free State

Pelonomi Hospital
Address: 121 Dr Belcher Rd, Heidedal, Bloemfontein, 9301
Phone: 051 405 1911

Provincial Communicable Disease Control Directorate

Eastern Cape

Free State

Gauteng

KwaZulu-Natal

Limpopo

Mpumalanga

North West

Northern Cape

Western Cape

Port Health and Environmental Health

Social grants – Coronavirus COVID-19

Effective from Monday, 30 March 2020 until Friday, 3 April 2020, buses and taxis will be permitted to operate from 05:00 until 20:00 in order to cater to the transportation needs of society’s most vulnerable.

Grant recipients are required to carry their Identity Documents and South African Social Security Agency (SASSA) cards when travelling on public transport, to assist law enforcement efforts. (https://www.gov.za/speeches/minister-fikile-mbalula-relaxas-hours-public-transport-vehicles-grant-beneficiaries-29-mar)

Grants will be paid. There is no need to withdraw all the cash at once, or to go to points where large numbers of people congregate. Once the grant money is in the account, it will remain there, regardless of when it is accessed.

Older persons and persons with disabilities should be given preference. Their grants will be available on 30 and 31 March. All others can access their grants from 1 April.

1. Social grant payments through bank ATMs and retail outlets

Confirmation was received from Banking Association of South Africa (BASA) that banks are ready for the payment cycle. ATMs will be restocked in time for the payment cycle which starts on 30 March.

Banks will also carry messaging reminding customers of priority for older persons and persons with disability.

Retail outlets have confirmed readiness. List of high volume stores just received and will be shared with NATJOC to assist SANDF and SAPS with support planning. Retailers confirmed their own containment measures:

. Social grant payments at cash pay points

  • SASSA will deploy at least one manager to each pay point to assist with queue management and to attend to enquiries – staff will have protective gear (masks and gloves) and carry hand sanitizer
  • SAPO has committed to having hand sanitizer for all clients – will be sanitized just prior to joining short queue for payment
  • Access to pay points will be limited to control social distancing
  • SAPO staff to be equipped with masks and gloves
  • Security staff will be equipped with masks and gloves
  • PostBank call centre (available 24/7) on 0800 53 54 55 to deal with concerns and complaints related to SASSA/SAPO cards – card replacement, PIN resets and non-payment

3. Call Centre

  • SASSA call centre (0800 60 10 11) will be available, although there may be reduced capacity.
  • Call centre available working hours only
  • Link to Postbank call centre for SASSA/SAPO card related enquiries

4. Social relief of distress

  • SASSA working on step-by-step process to assist individuals and shelters / institutions who may require SRD support during lockdown
  • DSD to assist with amending regulations to allow for application process not necessarily to require face-to-face contact (currently required in terms of Regulation 14 to Social Assistance Act)
  • Service providers who are able to provide food parcels to be confirmed per province by tomorrow, 26 March

5. Grant amounts have increased as from 1 April :

  • Grants for older persons and disability grants increase to R1 860
  • Grants for war veterans and older persons older than 75 years increase to R1 880
  • Foster child grants increase to R1 040 per child
  • Care dependency grants increase to R1 860
  • Child support grants increase to R440 per child

Essential services – Coronavirus COVID-19

All businesses that will be allowed to provide essential services are required to seek approval from the Department of Trade, Industry and Competition (the dtic) in order for them to trade during the period of the lockdown. The registration portal is only for registered companies operating in South Africa. Healthcare professionals registered with the Health Professions Council of South Africa, sole proprietors who provide essential goods and services (like spaza shops), and small-scale farmers will not have to register through the Bizportal.

Such businesses are required to apply to the Companies and Intellectual Property Commission (CIPC) Bizportal website at www.bizportal.gov.za and obtain a certificate from the Commission that allows them to continue trading. The Bizportal website will contain a menu icon listed as “Essential Service Businesses” through which an application can be made to the CIPC.

The application will be a simple declaration requiring minimal registration details, type of business/trade involved in, what trading name if any is used an d whether it meets the requirements contained in the essential services list, the contact details of the person applying as well as the number of employees that will be working during the lockdown period.

The CIPC registry will then pre-populate the remaining company information and email a certificate stating that the business is allowed to remain trading.

The certificate can then be used as evidence to authorities requiring same that indeed the business has been given government permission to trade and that its employees are able to have unrestricted movement ONLY in the course of that trade.

Categories of essential services shall be confined to the following services: (as amended by Gazette 43168 of 26 March 2020 and Gazette 43199 of 2 April 2020 and Gazette 43232 of 16 April 2020)

1. Medical, Health (including Mental Health), Laboratory and Medical services and the National Institute for Communicable Diseases; ”

2. Disaster Management, Fire Prevention, Fire Fighting and Emergency services;

3.1 (a) The following services necessary to maintain the functioning of a financial system as defined in section 1(1) of the Financial Sector Regulation Act, only when the operation of a place of business or entity is necessary to continue to perform those services:
(i) the banking environment (including the operations of mutual banks, cooperative banks, co-operative financial institutions and the Postbank);
(ii) the payments environment;
(iii) the financial markets (including market infrastructures licensed under the Financial Markets Act, 2012 (Act No. 19 of 2012);
(iv) the insurance environment;
(v) the savings and investment environment;
(vi) pension fund administration;
(vii) outsourced administration;
(viii) medical schemes administration; and
(ix) additional services designated in terms of regulation 11B(4A)(c)(i).
(b) The services listed in paragraph (a) may not be construed to include debt collection services.
3.2 Services necessary for the provision of social grants designated in terms of regulation 11B(4A)(c)(ii).”;

4. Production and sale of the goods listed in category A, above;

5. Grocery stores and wholesale produce markets. spaza shops, informal fruit and vegetable sellers and langanas, with written permission from a municipal authority to operate being required in respect of spaza shops and informal fruit and vegetable traders: Provided that all valid permits for spaza shops and informal fruit and vegetable traders issued before or during the declared national state of disaster and which fall due during the said period, will remain valid for a period of one month after the end of the national state of disaster;

6. Electricity (including vital demand management services), water gas and fuel production, supply and maintenance;

7. Critical jobs for essential government services as determined by Head of National or Provincial Departments in accordance with the guidance of the Department of Public Service and Administration, including Social Grant Payments and pension payments;

8. Birth and death certificates, and replacement identification documents;

9. Essential municipal services;

10. Care services and social relief of distress provided to older persons, mentally ill, persons with disabilities, the sick, and children;

11. Funeral and cremation services, including mortuaries services and the transportation of mortal remains;

12. Wildlife Management, Anti-poaching, Animal Care and Veterinary services;

13. Newspaper, broadcasting and telecommunication infrastructure and services, including call centres critical for the support of such services;

14. Production and sale of any chemicals, hygiene products, pharmaceuticals for the medical or retail sector;

15. Cleaning, sanitation, pest control, sewerage, waste and refuse removal services;

16. Services related to the essential functioning of courts, judicial officers, the Master of the High Court, Sheriffs and legal practitioners required for those services;

17. Essential SARS services defined by the Commissioner of SARS;

18. Police, peace officers, traffic officers, military medical personnel and soldiers, correctional services officials and traffic management services;

19. Postal services and courier services related to transport of medical products;

20. Private security services;

21. Air-traffic Navigation, Civil Aviation Authority, air charters, Cargo Shipping and dockyard services;

22. Gold, gold refinery, coal and mining;

23. Accommodation used for persons rendering essential services, quarantine, isolation and the lockdown;

24. Production, manufacturing, supply, logistics, transport, delivery, critical maintenance and repair in relation to the rendering of essential services including components and equipment;

25. Transport services for persons rendering essential services and goods, and transportation of patients;

26. Services rendered by the Executive, members of Parliament, Members of the Provincial Legislature, Members of Local Councils, the Judiciary, traditional leaders and National Office Bearers. of Political Parties represented in Parliament;

27.1 Commissioners of the South African Human Rights Commission, Gender Commission, the Commission for the Promotion and Protection of the Rights of Cultural, Religious and Linguistic Communities, the Public Protector and Deputy Public Protector and the Independent Electoral Commission; and
27 .2 Services rendered by the institutions referred to in item 27 .1;

28. Transport and logistics in respect of cargo and goods as set out in Part A to neighbouring countries;

29. Tow trucks and vehicle recovery services;

30. Call centres necessary to provide health, safety, social support, government and financial services, debt restructuring for consumers of retailers. and access to short-term insurance policies as a result of reduced income or loss of income;

31. Harvesting and storage activities essential to prevent the wastage of primary agricultural goods;

32. Implementation of payroll systems to the extent that such arrangement has not been made for the lockdown, to ensure timeous payments to workers; and

33. Critical maintenance services which cannot be delayed for more than 21 days and are essential to resume operations after the lockdown.

34. Trades necessary for the rendering of emergency repair work, including plumbers, electricians, locksmiths, glaziers, roof repair work;

35. Trades necessary for emergency automobile repairs for persons rendering essential services;

36. Information and Communication Technology services rendered to entities and institutions engaged in delivering essential services in terms of these Regulations.

Disability – Coronavirus COVID-19

Measures have been introduced for the vulnerable, destitute and needy throughout South Africa.

Let us support persons with disabilities during the lockdown. We can support them by promoting, protecting and advancing their rights.

During lockdown, caregivers will continue to assist persons with disabilities to access their social grants and to do shopping.

Payment of grants

You will still be able to collect your disability grant during the lockdown period. South African Social Security Agency (SASSA) announced that social grants from May 2020, will no longer be paid on the 1st. Beneficiaries of disability and old age grants, will be paid over 2 days from the 4th of each month.

Disability Sector Experts

Tools

Economic Relief – Coronavirus Covid-19

Please visit https://www.gov.za/Coronavirus/support-business for any additional updates or guidelines

Tourism Relief Fund

Categories eligible to apply for the Tourism Relief Fund include the following:

  • Accommodation establishments: Hotels; Resort properties; Bed and Breakfast (B&B’s); Guest houses; Lodges and Backpackers.
  • Hospitality and related services: Restaurants (not attached to hotels); Conference venues (not attached to hotels), Professional catering; and Attractions
  • Travel and related services: Tour operators; Travel agents; Tourist guiding; Car rental companies; and Coach Operators.

Visit our website www.tourism.gov.za for comprehensive information on the Fund terms and qualifying criteria. SMMEs can submit funding applications by completing a form accessible online at www.tourism.gov.za/Pages/COVID19tourismrelieffund.aspx

Inquiries on the fund can be emailed to callcentre@tourism.gov.za or covidrelief@tourism.gov.za . Alternatively contact our call centre telephonically on 0860 TOURISM (868 747) weekdays from 08:00 – 22:00.

Debt Relief Finance Scheme

For small and medium businesses which are negatively affected, directly or indirectly, due to the Coronavirus pandemic

Qualifying criteria

  • The business must have been registered with CIPC by at least 28 February 2020;
  • Company must be 100% owned by South African Citizens;
  • Employees must be 70% South Africans;
  • Priority will be given to businesses owned by Women, Youth and People with Disabilities;
  • Be registered and compliant with SARS and UIF;
  • Seda will assist micro-enterprises to comply and request for assistance must be emailed to debtrelief@seda.org.za;
  • Whereas small and medium enterprises must ensure own compliance;
  • Registration on the National SMME Database – https://smmesa.gov.za
  • Proof that the business is negatively aected by COVID-19 pandemic;
  • Complete the simplied online application platform;
  • Company Statutory Documents;
  • FICA documents (e.g. Municipal accounts, letter from traditional authority);
  • Certified ID Copies of Directors;
  • 3 months Bank Statements;
  • Latest Annual Financial Statements or Latest Management Accounts not older than three months from date of application – where applicable;
  • Business Profile;
  • 6 months Cash Flow Projections – where applicable;
  • Copy of Lease Agreement or Proof ownership if applying for rental relief;
  • If applying for payroll relief, details of employees – as registered with UIF and including banking details – will be required as payroll payments will be made directly to employees;
  • SMME employers who are not compliant with UIF must register before applying for relief;
  • Facility Statements of Other Funders;
  • Detail breakdown on application of funds including salaries, rent etc.

Application process

  • Register on https://smmesa.gov.za/
  • Complete online Application Form (to be released on Thursday, 02 April 2020);
  • Upload Required Supporting Documents

For more information:

info@dsbd.gov.za/ info@mybindu.org.za| 0860 663 7867 or 0860 ONE STOP

Business Growth/Resilience Facility

For small, medium and micro businesses geared to take advantage of supply opportunities resulting from the Coronavirus pandemic or shortage of goods in the local market.

Qualifying criteria

a. The business must have been registered with CIPC by at least 28 February 2020;
b. Company must be 100% owned by South African Citizens;
c. Employees must be 70% South Africans;
d. Priority will be given to businesses owned by Women, Youth and People with Disabilities;
e. Be registered and compliant with SARS and UIF;
f. For non-compliant Micro businesses, Seda will assist them to comply and request for assistance must be sent to: growthfund@seda.org.za;
g. Registration on the National SMME Database: https://smmesa.gov.za/
h. Complete the simplified online application form available from www.dsbd.gov.za; www.sefa.org.za: www.seda.org.za
i. CIPC Registration Documents;
j. FICA documents (e.g. Municipal accounts, letter from traditional authority);
k. ID Copies of Directors/ members;
l. 3 months Bank Statements;
m. Latest Annual Financial Statements or Management Accounts not older than three months from date of application;
n. Business Profile;
o. 6 months Cash Flow Projections – where applicable;
p. Relevant Industry Certification – where applicable;
q. Estimations for funding requested.

Application Process

a. Register on https://smmesa.gov.za/
b. Complete online Application Form (to be released on Thursday, 02 April 2020);
c. Upload Required Supporting Documents

For more information:

info@dsbd.gov.za/ info@mybindu.org.za| 0860 663 7867 or 0860 ONE STOP

Tax measures to combat the COVID-19 pandemic

Government has implemented interventions to assist with job retention and assist businesses that may be experiencing significant distress. These measures include:

  • The introduction of a tax subsidy to employers of up to R500 per month for the next four months for those private sector employees earning below R6,500 under the Employment Tax Incentive. This will help over 4 million workers;
  • The South African Revenue Service to accelerate the payment of employment tax incentive reimbursements from twice a year to monthly to get cash into the hands of compliant employers as soon as possible;
  • Tax compliant businesses with a turnover of R50 million or less will be allowed to delay 20% of their employees’ tax liabilities over the next four months and a portion of their provisional corporate income tax payments without penalties or interest over the next six months. This intervention is expected to assist 75 000 small and medium term enterprises.

The above measures will be given legal effect in terms of two bills to be tabled when Parliament re-convenes later this year for retrospective enactment. These bills are the Disaster Management Tax Relief Bill and the Disaster Management Tax Relief Administration Bill. The draft bills alongside their draft explanatory memorandum, will be published for public comment on the National Treasury and SARS websites by 1 April 2020.

Together with the Commissioner of SARS, National Treasury will also be considering additional exceptional adjustments to assist with COVID-19 relief efforts and to the tax treatment of newly formed funds in this regard.

The draft explanatory notes regarding the COVID-19 tax measures can be found on the National Treasury (www.treasury.gov.za) and SARS (www.sars.gov.za) websites. Comments on the draft explanatory notes can be made to 2020AnnexCProp@treasury.gov.za.

Proposal to expand Employment Tax Incentive programme

In order to minimise the loss of jobs during this critical period, Government proposes expanding the ETI programme for a limited period of four months, beginning 1 April 2020 and ending on 31 July 2020 as follows:

  • Increasing the maximum amount of ETI claimable during this four month period for employees eligible under the current ETI Act from R1 000 to R1 500 in the first qualifying twelve months and from R500 to R1 000 in the second twelve qualifying months.
  • Allowing a monthly ETI claim in the amount of R500 during this four month period for employees from the ages of:
    • 18 to 29 who are no longer eligible for the ETI as the employer has claimed ETI in respect of those employees for 24 months; and
    • 30 to 65 who are not eligible for the ETI due to their age.
  • Accelerating the payment of employment tax incentive reimbursements from twice a year to monthly as a means of getting cash into the hands of tax compliant employers as soon as possible.

This expansion will, however, only apply to employers that were registered with SARS as at 1 March 2020. Further to the above, the current compliance requirements for employers under sections 8 and 10(4) of the ETI Act will continue to apply.

Proposal of deferral of the payment of employees’ tax liability for tax compliant small to medium sized businesses

Tax measures for tax compliant small to medium sized businesses, for a limited period of four months, beginning 1 April 2020 and ending on 31 July 2020:

  • Deferral of payment of 20 per cent of the PAYE liability, without SARS imposing administrative penalties and interest for the late payment thereof.
  • The deferred PAYE liability must be paid to SARS in equal instalments over the six month period commencing on 1 August 2020, i.e. the first payment must be made on 7 September 2020.

For the purposes of this proposal, small or medium sized business is defined to mean any business with an annual turnover not exceeding R50 million.
The above-mentioned proposals will not apply to an employer or representative employer that:

  • has failed to submit any return as defined in section 1 of the Tax Administration Act, 2011 (TAA) on the basis required by section 25 of the TAA; or
  • has any outstanding tax debt as defined in section 1 of the TAA, but excluding a tax debt
    • in respect of which an agreement has been entered into in accordance with section 167 or 204 of the TAA;
    • that has been suspended in terms of section 164 of the TAA; or
    • that does not exceed the amount referred to in section 169(4) of the TAA.

However, interest and penalties will apply if the employer has understated the PAYE liability for any of the four months.

Proposal of deferral of the payment of provisional tax liability for tax compliant small to medium sized businesses

Government proposes the following tax measures for tax compliant small to medium sized businesses, for a period of twelve months, beginning 1 April 2020 and ending on 31 March 2021:

  • Deferral of a portion of the payment of the first and second provisional tax liability to SARS, without SARS imposing administrative penalties and interest for the late payment of the deferred amount;
  • The first provisional tax payment due from 1 April 2020 to 30 September 2020 will be based on 15 percent of the estimated total tax liability, while the second provisional tax payment from 1 April 2020 to 31 March 2021 will be based on 65 percent of the estimated total tax liability;
  • Provisional taxpayers with deferred payments will be required to pay the full tax liability when making the third provisional tax payment in order to avoid interest charges.

For the purposes of this proposal, a small or medium sized businesses is defined as any company conducting a trade with an annual turnover not exceeding R50 million. The eligibility criteria for individuals carrying on a business have yet to be finalised, but one possibility is that they will be eligible if their turnover is less than R5 million and no more than 10 per cent of their turnover is derived from interest, dividends, foreign dividends, rental from letting fixed property and any remuneration received from an employer.

The above-mentioned proposals will not apply to a provisional taxpayer that:

  • has failed to submit any return as defined in section 1 of the Tax Administration, 2011 (TAA) as required by section 25 of the TAA; or
  • has any outstanding tax debt as defined in section 1 of the TAA, but excluding a tax debt
    • in respect of which an agreement has been entered into in accordance with section 167 or 204 of the TAA;
    • that has been suspended in terms of section 164 of the TAA; or
    • that does not exceed the amount referred to in section 169(4) of the TAA.

However, interest and penalties will apply in instances where, upon assessment, it is discovered that a taxpayer does not qualify for relief under the proposed amendments.

More information

To register businesses that provide an essential service:
www.bizportal.gov.za
Tel: (012) 394 1650
mobile: 079 492 1774
Email: Lockdownexemptions@thedtic.gov.za

COVID-19 UIF PROCESS

• Any UIF contributing business facing distress, on lockdown and unable to pay salaries due to lockdown can apply.
• Companies are encouraged to apply on behalf of their employees using the e-mail address (COVID19ters@labour.gov.za)
• Automatic reply with all the required documents and step by step on the process to follow.
• Completed applications and documents must be submitted to Covid19UIF@labour.gov.za
• Hotline number: (012) 337 1997

Who has to apply for the Covid19 Relief Benefit?
• Employers who are unable to pay salaries of their employees during the lock down period can apply for the Relief Benefit.

How do I apply?
• The employer should send an email to Covid19ters@labour.gov.za

What is the deadline for the submission of applications?
• The Covid19ters Benefit is applicable for the lock down period, no applications will be entertained once the lock down is lifted.

Do employers who are not registered with UIF qualify for the Relief Benefit?
• No, an employer need to be registered with UIF to qualify for the Benefit.
• Companies who registered after the 15 March 2020 may not be eligible for the Benefit

No, informal businesses won’t qualify for this benefit, instead they must check with the Department of Small Business for support they offer.

Yes, your employer can apply for the Covid 19 TERS Benefit provided they have been contributing to the UIF.

No, freelancers and commission workers do not qualify, as they are not covered under the Unemployment Insurance Amendment Act.

Turnaround time to process the application is 10 days with complete documents (MOA, verifications, etc.)

The calculation of payment is based/informed by the last remuneration capped to the current ceiling of R 17 712.

The benefit amount (IRR) is then determined in line with the current sliding scale which ranges between 38% to 60%.

The PRINCIPLE is the “higher the remuneration the lower the replacement rate” ie., where the remuneration is R 20 000 the calculation will be based as if the worker received R 17 712 (ceiling).

Since this is the highest, the replacement rate will be 38%, which will be (38% of R 17 712 = (R 221.28 per day) = R 6 638.40 for 30 days or R 6 859.68 for 31 days).

UIF will take into consideration the current salary of the employee to determine the Income Replacement Rate applicable

When an employer submits a claim with a list of his workers, we will check it against our database. If we find workers who are not registered, the application will be returned back to the employers to provide to provide an explanation.

NO, the COVID19TERS will not affect any credits because it’s a special benefit.

Yes, you will be able to claim for the Unemployment Benefit since it is de-linked to the other benefit structure.

Given the administrative burden that comes with this disaster it will be impossible for UIF to process millions of applications.

UIF has started negotiations with partners such as Banks, Bargaining Councils, and other insurance companies to assist with payments of claims so that we ease the burden and fast-track the payments.

Where the Fund has agreements with Bargaining Councils or Employer Associations, the funds will be transferred to the Bargaining Council or Employer Association. Thereafter, the Bargaining Council or Employer Association will transfer to the individual companies to pay their employees.

Where the Fund has an agreement directly with the company, funds will be transferred to the company to pay the employees.

There are instances where an agreement with a company will be that the funds be paid directly into the employee’s account.

No, the MOU applies to companies that have more than 10 employees

Yes, if the application was approved prior to the 16 April 2020 the benefits payments will still be made.

The benefit is applicable for the lock down period.

No, labour centres are closed, however all UIF services will be available online.
• A Guide for electronic applications is available at www.Labour.gov.za
• An SMS will be sent to beneficiaries who have been receiving benefits payments to confirm whether their banking details are still the same as when they applied and that they’re still unemployed.

The employer has the right to let you stay at home for the period of the lock down, but they need to assist employees to apply for the Covid 19 TERS Relief Benefit so that employees do not lose income.

Beneficiaries who have been receiving benefits payment prior the lock down will continue receiving them, provided the benefits have not been exhausted.

UIF will send these beneficiaries SMSes requesting them to confirm their baking details and if they are still unemployed.

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