Section 12B: Tax-deductible Solar Investment – Deadline 20 February

Section 12B: Tax-deductible Solar Investment – Deadline 20 February

*This content is brought to you by Jaltech

As South Africa advances towards achieving energy independence, Jaltech presents an enticing opportunity for taxpayers to capitalise on the thriving solar market and alleviate their 2024 tax burden by the end of February.

Jaltech aims to raise R90 million to acquire an existing portfolio comprising more than 50 operational solar systems. This acquisition strategy adds an extra layer of reassurance for investors, as these systems are already generating electricity and have a proven track record of performance.

Furthermore, investors stand to benefit from a 100% Section 12B tax deduction on their capital before the February 2024 tax deadline, providing a clear path to reducing their tax liability. In terms of returns, the investment in this established portfolio, with a documented payment history, offers a projected pre-tax return of 20% per annum (net of fees and including the tax benefit), providing a reliable return expectation for investors.

The existing portfolio has an additional opportunity to yield higher returns by tapping into the potential of integrating batteries into solar systems. Acknowledging this potential, Jaltech plans to leverage debt in the investment to incorporate batteries, potentially elevating returns to a pre-tax rate of 30% per annum (net of fees and including the tax benefit).

For taxpayers facing a significant income tax or capital gains tax liability and considering an investment of a minimum of R500,000, click here to complete the enquiry form, and a Jaltech representative will reach out to provide more information on this promising investment opportunity.

Jonty Sacks & Sigaliya Levy – Jaltech Fund Managers

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Register here for the webinar, to be hosted on Thursday, 8 February. BizNews’ Alec Hogg will host Jonty Sacks to get detailed information on the Section 12B tax-deductible solar investment.

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