An interest-free loan to your family trust is not a neutral act. Since 1 March 2017, Section 7C has deemed the interest shortfall a donation, triggering annual donations tax on balances that have never been reviewed. A technical briefing with a worked example.
Read article →The Silent Donation: What Every Trust Beneficiary Needs to Know About Section 7C
How a 2017 amendment is quietly generating donations tax in thousands of South African family trusts