Page 25 - Nexia SAB&T Property and Tax Guide 2025

◆ Leases must be reduced to writing. The onus will be on the landlord to make
sure it is in writing.
◆ The deposit and interest accrued on it must be paid to the tenant within 7
days of the expiration of the lease, however a reasonable cost incurred in
repairing damage to the dwelling may be deducted from the deposit, but
relevant receipts reflecting these costs must be made available to the tenant
for inspection. Failure by a landlord to repay the deposit to the tenant is a
criminal offence.
◆ To clarify the rights and responsibilities of the tenant and the landlord.
◆ To strengthen the powers of the Rental Housing Tribunals.

REGULATIONS FOR NEW BUILDINGS AND ENERGY USAGE

The Energy Efficiency Regulations for energy usage in buildings provide that all new
buildings and building extensions in South Africa must conform to the regulations
on energy conservation, including homes, industrial buildings, hotels and schools.
Building plans will not be approved without compliance, and Inspectors are required to
confirm same, specifically energy usage requirements. No compliance – no Occupancy
Certificate.

TAX ALLOWANCE FOR ENERGY-EFFICIENCY SAVINGS
Regulations on the tax allowance for Energy-efficiency savings stipulate that any
company holding a certificate that can prove their energy savings are genuine,
can submit the certificate to claim an allowance from SARS. The allowance is as
contemplated in Section 12L (2) of the Income Tax Act, 1962. Section 12L provides
that tax incentives are available for savings in all energy forms, and not only electricity.
The energy-efficiency savings tax incentive is calculated at a rate of 95c/kWh and also
applies to cogeneration projects.

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