A critical analysis of the tax implications of the 2010 FIFA World Cup in South Africa

Abstract

The FIFA World Cup, to be hosted in South Africa in June 2010, is approaching and the South African Revenue Service has included additional legislation for taxing the entities and individuals involved in the event on various revenue streams. As South Africa has had limited experience in both hosting such events and implementing the tax concessions laid down, this study focuses on providing a comparison between current tax legislation and the legislation that will apply during the World Cup event in order to expand on the differences that arise as a result of the Revenue Laws Amendment Act (20/2006). The concessions cover sections of income tax, value added tax and customs and excise duties. The exemptions or tax concessions are then further distinguished according to their application to various entities/individuals and locations, and for limited periods. This study aims to elucidate on a topic on which no or minimal academic research has been done in the past; it has been conducted through purely conceptual research in the form of a literature review. Several differences in legislation have been identified and highlighted and revenue streams identified. Administrative and other effects have been discussed. Copyright