While franchises may be seen and treated as most corporate entities, there are various characteristics that separate these entities from the rest. The same is true for taxes, as there are specific rules that need to be considered afresh when dealing with franchises, even though we are familiar with the general application thereof.
We offer a session aimed at discussing the general tax principles applied to franchises, to enable you to also incorporate them appropriately.
This session will address matters including, but not limited to, the following:
• Brief discussion on the background of franchises
• Brief discussion of the general tax principles applicable to franchises
• Specific transactions relevant to franchises, and the application of the tax principles to these items (from the perspective of both the franchisor and franchisee)
o Franchise fees and intellectual property
o Royalties
o Costs / obligations in terms of franchise agreement
• VAT considerations
