Objectives

The primary objective of this tender is to engage a suitable service provider to perform comprehensive income tax and deferred tax calculations for Alexkor RMC JV. The provider will conduct a detailed historical tax review, recalculate current and deferred taxes, address audit findings, and ensure alignment with financial statements and relevant tax legislation.

Scope

The scope of work includes:

• Historical Tax Review and Reconstruction for seven financial years (2020–2026), including recalculations and error identification in opening balances, deferred tax balances, and prior year computations.
• Deferred Tax Review in accordance with IAS 12, assessing temporary differences across various assets and liabilities, and ensuring correct recognition of deferred tax assets and liabilities.
• Current Tax Computation to prepare accurate taxable income calculations per year, compliant with the Income Tax Act 58 of 1962.
• Alignment of tax calculations with financial statements, including trial balance, general ledger, and annual financial statements.
• Addressing prior audit findings and providing technical corrections for misstatements, disclosures, and unsupported balances.
• Preparation of detailed journal entries for opening balances, deferred tax adjustments, and current tax provisions, distinguishing between prior period and current year adjustments.
• Delivery of tax computations and deferred tax schedules for each year (2020–2026).

Technical Requirements

The service provider must:

• Perform a comprehensive review and reconstruction of historical tax data.
• Recalculate deferred tax in line with IAS 12, considering all relevant temporary differences.
• Ensure all tax calculations are aligned with the financial statements and comply with applicable legislation.
• Address and resolve any prior audit findings related to tax matters.
• Provide detailed journal entries and documentation for all adjustments made.
• Deliver complete tax computation reports and schedules for the specified years.

Skills Requirements

The successful service provider must demonstrate:

• Registration with a recognized professional body (e.g., South African Institute of Chartered Accountants).
• Lead resource must be a Chartered Accountant (CA(SA)).
• Minimum of 10 years’ experience in corporate tax calculations.
• Proven experience in multi-year tax reconstruction projects, with evidence such as reference letters.
• Experience in deferred tax calculations in accordance with IAS 12, with relevant project evidence.
• Experience working with PFMA/public sector clients is advantageous.
• Ability to align tax calculations with financial statements and address audit findings effectively.
• Methodological approach to tax reconstruction, deferred tax calculation, and resolving prior audit issues.