Indluplace Properties well positioned to weather current financial climate

Posted On Wednesday, 10 February 2016 14:55 Published by
Rate this item
(0 votes)

Indluplace Properties, the JSE’s first pure residential focused REIT, announced a dividend for the quarter ended 31 December 2015 of 22,93 cents per share.

Indluplace Properties well positioned to weather current financial climate

“We are pleased to announce the first quarterly dividend for the 2016 financial year. The distribution of 22,93 cents per share is in line with our forecast to the market. Incorporating the portfolios that we acquired at the end of last year into Indluplace has gone exceptionally well. We are grateful to our portfolio managers and their teams for their commitment in making this happen

Indluplace is still ungeared and therefore well positioned in the current uncertain economic environment. The demand for rental residential units remains robust across the portfolio.  We anticipate residential rental becoming even more attractive in a rising interest rate environment,” said Carel de Wit, FD of Indluplace

“The distribution meets the requirements of a “qualifying distribution” for the purposes of section 25BB of the Income Tax Act, No. 58 of 1962 and the distribution on shares will be deemed to be a dividend, for South African tax purposes, in terms of section 25BB of the Income Tax Act,” the company said

TAX 101

The distribution received by or accrued to South African tax residents must be included in the gross income of such shareholders and will not be exempt from income tax (in terms of the exclusion to the general dividend exemption, contained in paragraph (aa) of section 10(1)(k)(i) of the Income Tax Act) because they are dividends distributed by a REIT.

This distribution is, however, exempt from distribution withholding tax in the hands of South African tax resident shareholders, provided that the South African resident shareholders provided the following forms to their Central Securities Depository Participant or broker, in respect of uncertificated shares, or the company, in respect of certificated shares:  

a) a declaration that the distribution is exempt from dividends tax; and 

b) a written undertaking to inform the CSDP, broker or the company, as the case may be, should the circumstances affecting the exemption change or the beneficial owner cease to be the beneficial owner, both in the form prescribed by the Commissioner for the South African Revenue Service. 

Last modified on Wednesday, 10 February 2016 16:29

Most Popular

University of Fort Hare construction resumes

Jun 18, 2020
Construction of UFH Student Housing
Following two months of hard lockdown, the development of a 2 047-bed student village at…

SA property prospects as we look beyond COVID-19 lockdowns

Jun 11, 2020
John Loos FNB Property Economist
“The COVID-19 Crisis has changed the world a lot, perhaps less through introducing new…

Estate Agency Affairs Board to re-open its doors this month

Jun 13, 2020
Mamodupi Mohlala
The Estate Agency Affairs Board (EAAB) will re-open its Sandton, Johannesburg offices…

Grit to improve liquidity, save costs through proposed JSE de-listing

Jun 11, 2020
Bronwyn Corbett Grit
London Stock Exchange listed Grit announced its intention to de-list from the JSE.

Redefine’s European logistics platform set to expand its footprint in Poland

Jun 17, 2020
Andrew Konig CEO Redefine
JSE listed diversified real estate investment trust Redefine Properties (JSE: RDF) along…

Please publish modules in offcanvas position.