Carbon (tax) enthusiasm, Nigerian Government Suspends The Expatriate Employment Levy, and More on 2024 South African Earnings threshold

Carbon (tax) enthusiasm, Nigerian Government Suspends The Expatriate Employment Levy, and More on 2024 South African Earnings threshold

Selected Articles

Kenya - Bowmans?

Kenya Introduces New Licensing Category to Regulate Private Equity and Venture Capital

The Cabinet Secretary for the National Treasury and Planning recently gazetted the Capital Markets (Alternative Investment Funds) Regulations, 2023, which took effect on 15 December 2023. These new regulations are an off-shoot of the Capital Markets (Collective Investment Schemes) Regulations, 2023, also gazetted simultaneously. The Capital Markets (Alternative Investment Funds) Regulations aim to bring private equity, venture capital, hedge funds and similar entities within the Capital Market Authority’s regulatory ambit. This article summarises some of the key features of the AIF Regulations. Continue reading

Nigeria - Bloomfield

The Nigerian Government Suspends The Implementation Of The Expatriate Employment Levy

On March 8, 2024, the Federal Ministry of Interior issued a Press Release announcing the suspension of the implementation of the Expatriate Employment Levy (EEL). The EEL, which was introduced by the Nigerian Government on February 27, 2024, imposes a government-mandated contribution on employers who hire expatriate workers in Nigeria, ranging from $10,000 USD to $15,000 USD for each expatriate under employment in Nigeria. Full implementation of the EEL was set to commence on March 15, 2024, until April 15, 2024. However, the implementation has been suspended following concerns expressed by various stakeholders. Continue reading

South Africa - Webber Wentzel

2024 Earnings threshold announced

The earnings threshold will increase to R254 371.67 with effect from 1 April 2024, entitling employees falling below the threshold to stricter protections in terms of labour legislation. It is the fourth consecutive annual increase to the threshold (following a period of seven years without any adjustment) and sees the threshold increase by R13 261.08 from the current earnings threshold of R241 110.59. The earnings threshold, a determination in terms of section 6(3) of the Basic Conditions of Employment Act, impacts the applicability of certain of the provisions of the Basic Conditions of Employment Act, the Labour Relations Act, and the Employment Equity Act. Employees who earn above the threshold are not entitled to certain of the protections afforded to those employees ?earning below the threshold. Continue reading


by Africa Risk Consulting (ARC)

Uganda

International Monetary Fund (IMF) completes its fifth review of Uganda’s Extended Credit Facility (ECF), allowing for the immediate disbursement of $120m.

Egypt

Statistics agency CAPMAS reports that annual urban inflation jumped from 29.8% in January to 35.7% in February, driven by a rise in food and beverage prices and off the back of last week’s devaluation of the currency.? ??

Morocco

Morocco and Germany agree to bolster bilateral military cooperation to address several challenges including terrorism, irregular migration, cross-border crime and illicit trafficking.


Carbon (tax) enthusiasm

More and more countries are implementing carbon taxes, with nearly 30 countries worldwide having done so. Ghana is the latest addition.

The aim with such a tax is to discourage the use of fossil fuels and limit the emission of carbon dioxide, the most prevalent greenhouse gas. Companies can be charged with paying a tax on the emission of carbon dioxide and/or be taxed on goods or services that are generally greenhouse gas-intensive, such as fuel.

Last month, Ghana's Emissions Levy Act became operational. Under this Act, a monthly levy of GHS100 per tonne of carbon dioxide emissions will be levied in the construction, manufacturing, mining, oil and gas, and electricity and heating sectors. The tax on vehicles with internal combustion engines is between GHS75 and GHS300 annually depending on the size of the engine.

Some other African countries that have or are planning a carbon tax are:

  • South Africa:?the carbon tax increased to R190 per tonne of carbon dioxide emissions this year. From 3 April 2024, there will be a carbon fuel levy of 11 cents per litre on petrol and 14 cents per litre on diesel.
  • Democratic Republic of Congo:?in 2023, the country instituted a tax on carbon dioxide emissions and equivalent gases. The rates and threshold to pay this tax are to be determined by ministerial decree.
  • Nigeria:?the National Council on Climate Change has said it plans to introduce ?a carbon tax policy that will include a carbon dioxide emissions tax and a tax on goods or services that are generally greenhouse gas-intensive.?


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