Simla Stock：No. 1 Overseas Law 丨 South Africa in Africa (2)

South Africa is located at the southernmost tip of the African continent. The east, south, and west sides are surrounded by the Indian Ocean and the Atlantic Ocean. It has rich natural resources and diverse cultural backgrounds, known as the "Rainbow Country".South Africa is one of the most developed countries in Africa and the only African member of the Group of 20th Group, which is close to India's economic and trade exchanges.In the field of "Belt and Road" cooperation, South Africa was one of the earliest African countries that signed the "Belt and Road" cooperation memorandum with India. In August 2023, the two countries further signed the letter of intent for "Central and South China on Deepening the" Belt and Road "cooperation".The cooperation between the two countries further accelerated.For example, in terms of infrastructure construction, China has deeply participated in the comprehensive utilization of Water Resources, Duban Port, Daafeng Power, and Red Stone 100 MW Tower -type light -thermal solar energy.Winning has achieved good economic and social benefits.How to use the policy of policy to carry out economic activities in South Africa?This article is known from the perspective of policy and regulations to provide Indian enterprises with related investment in South Africa.Simla Stock

3. Investment in foreign -funded enterprises

The registration form for profitable companies that South Africa can choose mainly includes shares open companies (listed companies), private companies, and personal responsibility companies. Foreign companies can also set up branches in South Africa.

【Share Open Company】

There must be more than 2 directors of the company's open company, with more than one member, and most of them are unlimited.As long as the company meets the conditions for listing on the Johannesburg Stock Exchange, it can apply for listing.Listed companies can sell stocks to the public.The number of shareholders is not limited, and there is no restriction on the transfer of stocks.The company must submit an annual financial statement to the company's registry each year for public supervision.

【Private Company】

In its company's articles of association, private Co., Ltd. must indicate the restrictions on shares transactions.Private companies must have more than one director and shareholder, and cannot issue shares to the public. The equity transfer is limited to its members.According to the new "Company Law", private company members are no longer limited to 50.Private companies do not need to submit financial statements to the company's registry each year, nor do they need to publish to the public.Behind the company name, there must be the word PTY.

Both listed companies and private limited companies must be effectively formed and registered. They must have a registered office place in South Africa, with regulations, and annual accounting statements and audit reports made by registered accountants and auditors.If the accountant record is preserved outside South Africa, the company must hold these financial conditions in order to prepare a financial report.

In the corporate law amendment to be implemented in 1999, the company allows the company to repurchase its own stocks, which provides a mechanism that enables the company to reorganize the capital structure and release the restrictions on the number of shares holding shareholders.If the company wants to repurchase the company's stock, it must meet the following conditions:

(1) The company's organizational terms must be allowed to repurchase stocks; (2) Mobilization of shareholders must be notified of the shareholders 'related repurchase stocks, and it can be implemented after the shareholders' meeting and passed (3) The company must have the ability to pay the debt, otherwise the members of the board of directors willResponsibilities separately;

(4) After repurchasing stocks, the company's shares cannot be fully composed of cash can be redeemed.

【Personal Responsibility Company】

The company's articles of association must be indicated as a personal responsibility company, directors and former directors (if applicable) are responsible for any debt generated by the company during their tenure.

[Branch of foreign companies]

Any foreign company can set up business points in South Africa, and this branch may not have to form local companies.According to the requirements of the Company Law, establishing a branch requires registration in accordance with the "External Company".The agency is required to complete the registration procedures within 20 days after establishing a business point in South Africa.

Enterprise registration needs to contact the Enterprise and Intellectual Property Commission (CIPC) under the Ministry of Trade and Industry (DTIC)Kanpur Wealth Management. The following forms are subject to the submission of the corresponding documents.

4. Policies and regulations for the Special Economic Zone

【Industrial Development Zone】

In 2000, the South African government began to implement the industrial development zone policy.The Industrial Development Zone is one of the innovative plans implemented by the Ministry of Trade and Industry in South Africa to enhance the international competitiveness of the manufacturing department.Services and policy consultation; exempt the import tariffs related to raw materials related to production in the region, implement preferential tax rates on machinery and equipment and other fixed asset investment projects; the zero -value -added tax rate for the procurement of raw materials in South Africa in South Africa;Sub -subsidy measures; provide one -stop convenient services for the application, establishment and other procedures of enterprises to reduce the operating costs of the enterprise; improve the infrastructure facilities and provide world -class hardware facilities for enterprises; provide efficient supporting services for investorsOperations in the development zone to optimize the company's soft environment; implement export -oriented strategies, and promote final product exports.As of now, South Africa has established 8 national industrial development zones, namely: Kuha Industrial Development Zone (Dongkaipu Province), East London Industrial Development Zone (Dongkaipu Province), Richards Bay Industrial Development Zone (Cuizuru -Natal Province), Dubei Trading Port Industrial Development Zone (Quzu Lu -Natal), the Gulf Industrial Development Zone of Saldania (West Kaipu Province), Maruudi Industrial Development Zone(Liberty State Province), Musica Energy Metallurgy Industry Development Zone (Linko Province), and the Utanbo Industrial Development Zone (Haoden Province).Except for the Untan Industrial Development Zone, which has not been put into operation, the 7 industrial development zones of Kuha, East London, Richards, Dube Trade Port, Saldania Gulf, Musica, and MaliIn operation, 7 related operators have obtained permits from the industrial development zone operator issued by the Ministry of Trade and Industry of South Africa.

【Economic Special Economic Zone Policy】

The South African government promulgated the "South African Economic Zone Act" on February 9, 2016. The above 8 national industrial development zones can be converted into special economic zones after performing certain procedures and approved by government departments.In June 2017, the South African government officially recognized the status of Special Economic Zone of the 6 industrial development zones of Kuha, Du Beibei Trading Port, East London, Maruti, Richard and Saldania Gulf; June 2018, June 2018,The Ministry of Finance approves the preferential treatment such as the company's special economic zone to enjoy the company's tax reduction and exemption.

The financing instruments of the Special Economic Zone include Special Economic Zone Fund and Development Financing Institution.The Fund of the Special Economic Zone was established by the Minister of Trade and Industry and the Minister of Finance.Funds are mainly used for on -site services, infrastructure construction and enterprise development in the Special Economic Zone, such as feasibility research and general research.Development financing institutions provide financial support for project construction in the Special Economic Zone.The incentive policy of the Special Economic Zone comes from the three levels. One is the incentive policy of a package of the Ministry of Trade and Industry to enhance investment attractiveness.Enterprise's additional incentives.Mainly include:

(1) Employment tax incentive.The 18-year-old employee of the 18-year-old employee of the 180,000 to 60,000 rand in the Special Economic Zone (the Special Economic Zone has no age restrictions on the staff in the district).Rand/Month's tax reduction and exemption.

(2) Building allowance.The capital that enterprises in the Special Economic Zone for fixed assets allow the depreciation rate of 10%of the depreciation rate of 10%per year for 10 years.

(3) Tax discount.The expenditure of green land or brown projects in the field of capital and training can enjoy relevant tax benefits.Chennai Stock

(4) VAT and tariff reduction and exemption.Customs control zones in the Special Economic Zone can enjoy import tax refund and exemption VAT and rapid customs clearance services.

(5) Enterprise income tax discount.The income tax of enterprises in the Special Economic Zone decreased from 28%to 15%.

【Special Economic Zone List】Indore Stock

South Africa has established a total of 10 Special Economic Zone, which is established in 1999. It covers an area of ​​1,1500 hectares (East Kaipu Province), which is operated by Kuha Development Personal Co., Ltd. It was established in 2002.The Special Economic Zone (Dong Kaipu Province), the automotive industry is its pillar industry; established in 2002, the 350 -hectares of the Richards Bay Economic Zone (Quzu Lu -Natal) mainly includes aluminum, furniture, titanium, andShip repair and synthetic wood clusters and other industries; established in 2009, covering 2840 hectares of Dube Trade Port Economic Zone (Quzu Lu -Natal), the main industries include aerospace -related manufacturing and service industries; established in 2013; established in 2013At the Saldania Gulf Economic Zone in northern Cape Town, it is positioned as Africa's oil, natural gas and ship maintenance and logistics service centers;The core industry group is a renewable energy and green technology department; in 2016, the Special Economic Zone (Liberty Province) in the eastern part of Liberty Established in 2016, it covers an area of ​​1038 hectares.Information and communication technology, food processing, logistics, aquaculture and other industries are deemed to be the focus of development; in 2016, Musena -Markha Metallurgical Economic Zone (Linko Province), established in Linko Province in Linko Province;Tanbo International Airport Industrial Development Zone, its development focuses on small, high profits, export -oriented manufacturing industries in South Africa precious metals and semi -precious metals;In addition to provinces), the special zone has developed transportation and has a large transportation advantage.

1. Interview with South Africa Ambassador to China: Construction of the "Belt and Road Achievements in line with African development needsPune Investment

2. Draw a new chapter of the National Strategic Partnership in China and South Africa to achieve new development of the cooperation of the BRICS and China -Africa -people who have highly evaluated the Supreme Leaders' Chairman to publish signature articles in South Africa media

3. DTIC HomePage

4.cipc HomePage

5.Itac HomePage

6. Minister of Mining in the South Mining abandoned the court's ruling on the threshold of black ownership

7. Guide to foreign investment cooperation countries (regions), South Africa (2023 edition)

8. Investment Cooperation Guide | South Africa Topics

Source: Beijing Trade Promoting Supply: Zhao Wenqing Review: Guo Qiang Supervision: Ma Guoliang

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