BEE Commissioner's Practice Guide No.1 of 2017
The BEE Commissioner has issued a Practice Guide (see attachment). The key paragraph (number 14) states the prevention of EMEs or QSEs who achieve their 51% of 100% black owned status via modified flow-through from benefiting from enhanced recognition to a BEE Level 2 or 1 respectively.
Proof of BEE status for EMEs or QSEs must now be achieved as follows:-
- Affidavit: EME for a BEE level 4 or a Level 2 or 1 enhanced recognition for 51% or 100% Direct Black ownership;
- Affidavit: QSE with 51% or 100% Direct Black ownership (modified flow-through not used) for BEE Level 2 or 1 enhanced recognition;
- BEE Certificate: for QSEs where modified flow-through has been used for black ownership or where direct black ownership using normal flow-through is less than 51%.
For assistance on the above, please contact RVN Empowerment Services.
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The RVN Team *Above information supplied by Mantis Networks