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Parties wishing to cancel a contract should try to do so within the same year of assessment as it was entered into, to avoid adverse cash-flow consequences The Taxation Laws Amendment Act 25 of 2015 introduced a number of amendments to address the cancellation of contracts, which came into effect on 1 January 2016.
It has become common practice for some employers and employees to terminate their employment relationship by written agreements, which often provide inaccurate…
In a recent judgement, the Labour Court found that misrepresentation of facts in a UI-19 form is a criminal offence under the Unemployment Insurance Act, 63 of 2001 (UIA) It has become common practice for some employers and employees to terminate their employment relationship by written agreements, which often provide inaccurate reasons for the termination of employment. Usually, such terminations are recorded as retrenchments, which allows the employee to claim from the Unemployment Insurance Fund (UIF). Section 16(1)(a) of the UIA provides that an unemployed contributor is entitled to claim unemployment benefits if the reason for unemployment is: (i) the termination of the contributor’s contract of employment by his or her employer or the ending of a fixed-term contract; (ii) the dismissal of the contributor, as defined by section 186 of the Labour Relations Act 66 of 1995; or (iii) insolvency in terms of Insolvency Act 24 of 1936.