Rebosa 14 September 2018 Report

Dear Colleagues

Please take special note of the regional Stakeholder Engagement Sessions which form part of the public participation process on the Property Practitioners Bill, that will be taking place from 18 September.

 

Property Practitioners Bill

On 4 September 2018, Rebosa was invited by the Chairperson of the Portfolio Committee on Human Settlements to make a verbal presentation on our comments and recommendations on the proposals contained in the Property Practitioners Bill.

Below, please find Rebosa’s full submission on the PP Bill as well as the speech delivered by the Chief Executive.

REBOSA Property Practitioners Bill Commentary 2018

Jan le Roux Speech Portfolio Committe BILL – 04092018

Read moreRebosa 14 September 2018 Report

PSCC: AFFIDAVIT = BEE CERTIFICATE WHEN TURNOVER DOES NOT EXCEED R 2,5 MILLION PER ANNUM

Please be advised that it is stated in Section 8.6 of the Property Sector Code that:

An EXEMPTED MICRO ENTERPRISE (“EME”) is only required to obtain a sworn affidavit or certificate from the Companies and Intellectual Property Commission (CIPC) on an annual basis confirming the following:-

8.6.1     Annual turnover based on the EME threshold table
8.6.2     Level of black ownership

We have tested this and it appears that CIPC does not issue such affidavits or certificates.

We have been in touch with Ms Portia Tau-Sekati of the Property Sector Charter Council who confirmed that despite Clause 8.6, EME’s only need to obtain an affidavit as per the template below.

PSCC SWORN AFFIDAVIT – B-BBEE EXEMPTED MICRO ENTERPRISE – PROPERTY SECTOR

 

 

REBOSA Verbal Submission on Property Practitioners Bill to Portfolio Committee on Human Settlements

Madam Chairperson, Members of the Committee

Thank you very much for the opportunity to address you on the Property Practitioners Bill.

I am Jan le Roux, CE of Rebosa. Our members employ 16500 practicing estate agents, mostly focused on residential properties. I have been a registered agent for 35 years.

We support the replacement of the current Act

REBOSA has put a lot of work into drafting detailed comments on the Bill and submitted same to you.  Obviously it will be impossible to address all those issues today – hence I will only touch on  some.  

Read moreREBOSA Verbal Submission on Property Practitioners Bill to Portfolio Committee on Human Settlements

Invitation to participate in the stakeholder engagement on Property Practitioners Bill [2018]

The Portfolio Committee on Human Settlements (National Assembly) is mandated by the Constitution, amongst others, to conduct oversight over the Executive, pass legislation and conduct public participation on its legislative processes. The Speaker of the National Assembly, Hon Mbete referred the Property Practitioners Bill to the Committee for its consideration and reporting.  

Read moreInvitation to participate in the stakeholder engagement on Property Practitioners Bill [2018]

FIC Amendment Act Penalties for Non-Compliance

The FIC Act has two types of penalties for contraventions or acts of non-compliance with the FIC Act.  The first is administrative sanction(section 45C(3))  for non-compliance with the FIC Act which includes:

(a)          A caution not to repeat the conduct which led to the non-compliance referred to in subsection (1);

(b)          a reprimand;

(c)           a directive to take remedial action or to make specific arrangements;

(d)          the restriction or suspension of certain specified business activities;

or

(e)          a financial penalty not exceeding R10 million in respect of natural persons and R50 million in respect of any legal person.

The second type of penalty is the criminal sanction for contraventions of certain offences.  The maximum penalty for these offences are 15 years or a fine not exceeding R100 million.  There are also certain lesser offences that carry penalties of maximum sentences of five years or a fine not exceeding R million.

You may refer to sections 46 to 68 of the FIC Act for the specific acts of non-compliance and offences provisions.

www.fic.gov.za

REBOSA 31 August 2018 Report

AFFIDAVIT = BEE CERTIFICATE WHEN TURNOVER DOES NOT EXCEED R 2,5 MILLION PER ANNUM

Please be advised that it is stated in Section 8.6 of the Property Sector Code that:

An EXEMPTED MICRO ENTERPRISE (“EME”) is only required to obtain a sworn affidavit or certificate from the Companies and Intellectual Property Commission (CIPC) on an annual basis confirming the following:-

8.6.1     Annual turnover based on the EME threshold table

8.6.2     Level of black ownership

We have tested this and it appears that CIPC does not issue such affidavits or certificates.  

Read moreREBOSA 31 August 2018 Report

REBOSA 7 August 2018 Report

Dear Colleagues

This report largely focusses on legislation that is currently before Parliament or already enacted and which commencement dates are imminent.  We therefore urge you to peruse the following carefully and ensure that your Companies are prepared.

Should you have any concerns or queries you need clarity on, you are welcome to email me on info@rebosa.co.za

Kind regards

Jan

Property Practitioners Bill

A slightly revised Bill was published on 31 May 2018 and introduced to the National Assembly on 14 June 2018.  The Portfolio Committee on Human Settlements invited interested people and stakeholders to submit written comments on the Property Practitioners Bill [B 21 – 2018] by Friday, 10 August 2018.  Rebosa consulted with their attorneys and submitted further comment in line with our previous commentary.

We will keep you informed as this process unfolds.  

Read moreREBOSA 7 August 2018 Report

What must estate agencies do to be BEE compliant (Part 2)

Whether the Property Practitioners Bill comes to pass this year or the next, one clause that property practitioners must take notice of is the one that sets B-BBEE compliance as a requirement for the issuing of a Fidelity Fund certificate. What does a real estate agency have to do to become B-BBEE compliant? And what about white sole proprietors? Adrian Frewen, associate with the Phatshoane Henney Group of attorneys, shares some insight in the 2nd article in his series on the Property Charter and B-BBEE compliance.

Firstly, it is important to note that the compliance requirements for real estate agencies differ based on the size of the business. The Property Sector Code differentiates between three groups of entities, namely an Exempt Micro Enterprise (EME), Qualifying Small Enterprise (QSE), and Generic entities.  

Read moreWhat must estate agencies do to be BEE compliant (Part 2)

To BEE or not: No longer a question

The Amended Property Sector Code for Broad-Based Black Economic Empowerment (B-BBEE or BEE as it is more commonly referred to) was gazetted on 9 June 2017. The Property Sector Code applies to various entities operating in the greater property sector, including real estate agents. Adrian Frewen, associate with the Phatsoane Henney Group of attorneys, explains why achieving B-BBEE compliance is critical in the property sector.  

Read moreTo BEE or not: No longer a question