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Treasury withdraws proposed amendment to the Income Tax Act

# National Treasury has withdrawn the proposed amendment to the Income Tax Act related to rules governing offshore entities of South African multinationals. The amendment aims to implement the Supreme Court of Appeal’s decision in the Coronation case, impacting SA multinationals. Despite withdrawal due to Constitutional Court proceedings, legislative changes are expected, affecting companies with similar offshore structures. Tax experts anticipate potential amendments regardless of the court outcome. The Constitutional Court’s decision may influence the reintroduction of the proposed amendment.