FOR MORE INFO CONTACT:
Teegan Govindasamy | Carbon Advisor
Teegan works with companies to help them understand and furthermore minimise their carbon tax liability in South Africa.
The carbon tax was implemented in June 2019 and companies had to make payment of the first reporting period by 29 October 2020. The tax payment deadline for the 2020 reporting period is 29 July 2021.
Does your company understand how the carbon tax and its supporting regulations will affect your business in 2021? Have you allocated a budget for the tax? Are you aware that there are various allowances that could be applied to your company’s taxable emissions, thus lowering its tax liability?
If you are unsure of whether or not your business is liable for the carbon tax, missed important deadlines or would like to have an assessment of what your carbon tax liability may look like for the next few years, we can assist you.
Teegan Govindasamy | Carbon Advisor
Teegan works with companies to help them understand and furthermore minimise their carbon tax liability in South Africa.
The South African Greenhouse Gas Emission Reporting Regulations came into effect in April 2017 with annual submission deadlines by 31 March. The greenhouse gas emissions reported by companies are used as a basis for these businesses’ respective carbon tax calculations.
Companies that exceed a certain activity level threshold, are required to submit emission data in a prescribed format. The calculations of the emissions must be done in line with Technical Guidelines published with the Regulations. Companies should note that the calculation methodologies in the technical guideline differ from the conventional corporate calculation methodologies as GHG Protocol Corporate Standard and ISO14064.
South African companies that exceed the thresholds specified for their sectors in Schedule 2 of the Carbon Tax Act are required to report their greenhouse gas emissions to the Department of Environment, Forestry and Fisheries by 31 March 2021. We can assist you with your firm’s entire greenhouse gas reporting process for this period.
You can reduce your business’ carbon tax liability even further by investing in carbon tax offsets from our eligible South African offset projects.
Companies that are liable for carbon tax payments are awarded relief when purchasing carbon tax offsets. By doing so, a company can reduce their carbon taxes by up to 5% or 10%.
Last but not least, our various carbon offsetting projects provide you with the opportunity to invest in affordable, clean and safe energy solutions in vulnerable communities. This helps you reach your corporate social responsibility goals.
All of our carbon tax offsets are eligible for use under South Africa’s future carbon tax, as they are generated under the international carbon standards. These are the Gold Standard, the Verified Carbon Standard (VCS), and Clean Development Mechanism (CDM). All three standards are approved by the South African government.
Investing in carbon tax offsets can be cheaper than paying carbon tax. Make sure that your company does not miss out on this additional tax relief measure.
The South African Greenhouse Gas Emission Reporting Regulations came into effect in April 2017 with annual submission deadlines by 31 March. The greenhouse gas emissions reported by companies are used as a basis for these businesses’ respective carbon tax calculations.
Companies that exceed a certain activity level threshold, are required to submit emission data in a prescribed format. The calculations of the emissions must be done in line with Technical Guidelines published with the Regulations. Companies should note that the calculation methodologies in the technical guideline differ from the conventional corporate calculation methodologies as GHG Protocol Corporate Standard and ISO14064.
South African companies that exceed certain thresholds are required to report their greenhouse gas emissions before 31 October 2020. We can assist you with your firm’s entire greenhouse gas reporting process.
Our Carbon TaxScan helps you measure and understand how much carbon tax your business might have to pay. This is based on your most recent carbon footprint report, as well as relevant company emissions data and the most recent carbon tax regulations.
Please note that even if your company is already measuring its carbon footprint, this might not necessarily give you an indication of what your carbon tax exposure would be. This is because the calculation methodology for carbon tax liability differ from the conventional corporate methodologies as per GHG Protocol Corporate Standard and ISO 14064.
1. Determining which activities and/or processes that emit greenhouse gases within your operations will be carbon taxed;
2. Calculating your company’s estimated carbon tax liability, based on historic emissions. This process takes into account any applicable fixed tax-free allowances you would qualify for.
Our Carbon TaxScan is the first step towards determining your company’s possible future exposure to South Africa’s carbon tax law.
After receiving the results of your Carbon TaxScan, we will help you apply these insights to reduce your future carbon tax exposure.
Should your business be carbon tax liable, then the next step is to identify ways to mitigate your carbon tax payments through variable tax free-allowances provided by the carbon tax regulations. This includes the use of carbon offsets.
This can be done with our Carbon TaxCoach, where we work together on a strategy for reducing your carbon tax exposure.
1. Calculating to what extent your company can reduce its estimated carbon tax liability. It does so by taking into account any applicable tax-free allowances your company would qualify for;
2. Developing a carbon offsetting strategy that addresses crucial questions, such as how and when to purchase which carbon tax offsets.
Our Carbon TaxCoach helps your company lower its carbon tax liability through a robust carbon tax offsetting strategy.
You can reduce your business’ carbon tax liability even further by investing in carbon tax offsets from our eligible South African offset projects.
Companies that are liable for carbon tax payments are awarded relief when purchasing carbon tax offsets. By doing so, a company can reduce their carbon taxes by up to 5% or 10%.
Last but not least, our various carbon offsetting projects provide you with the opportunity to invest in affordable, clean and safe energy solutions in vulnerable communities. This helps you reach your corporate social responsibility goals.
All of our carbon tax offsets are eligible for use under South Africa’s future carbon tax, as they are generated under the international carbon standards. These are the Gold Standard, the Verified Carbon Standard (VCS), and Clean Development Mechanism (CDM). All three standards are approved by the South African government.
Investing in carbon tax offsets can be cheaper than paying carbon tax. Make sure that your company does not miss out on this additional tax relief measure.
THE NATIONAL POLLUTION PREVENTION PLAN. Find out how The Climate Neutral Group can help your business navigate the regulations – https://climateneutralgroup.co.za/pollution-prevention-plan/
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Under the Carbon Tax Act, domestic carbon offsets can be used to help carbon tax liable companies pay less carbon tax. And these savings can be considerable.
Read our article below for more information.
#carbontax #SouthAfrica
https://climateneutralgroup.co.za/carbon-tax-offsets-explained/