Inforcomm Consulting welcomes the announcement by the Minister of Finance, Pravin Gordan to provide tax relief to organisations involved in enterprise development.

In his 2014 budget speech the Minister announced that grants received by small and medium sized companies will be exempt from tax regardless of the source of funds in order to support entrepreneurial development.

Enterprise development is one of the seven elements of the Board-Based Black Economic Empowerment (B-BBEE) Codes Of Good Practice. Companies can provide grants or loans to support qualifying small companies and score B-BBEE points on the generic scorecard.

In most cases these grants are paid through third-party organisations that facilitate enterprise development programmes on behalf of large companies. This announcement means that enterprise development grants received directly or indirectly by small business are exempted from tax.

Inforcomm Consulting is a specialist professional service firm that consults on B-BBEE implementation, enterprise development and BEE ratings. The firm is accredited by the South African National Accreditation Systems’ (SANAS) to verify and issue B-BBEE rating certificates on the Generic; Financial Sector; Agro-BEE Sector; Integrated Transport Sector; Tourism Sector; Forest Sector; Construction Sector; Property Sector and the ICT Sector codes.

Click here to apply for a B-BBEE rating certificate (http://www.beeandyourbusiness.com/bee-more-than-5.aspx)