IMTT on US$ transactions strains business

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The intermediated money transfer tax (IMTT) can be said to be one of the not so celebrated measures introduced by the revenue authorities.
Although IMTT has been in existence since 2002, its revision in the year 2018 to two percent on every transaction from US$0.05 on every transaction almost seemed to many as if the tax was being introduced for the first time.

The IMTT is a tax charged in terms of the Income Tax Act and it is the responsibility of the financial institution to collect it.
Like its name suggests, it is a tax that arises whenever there is an intermediary service in the transfer of money. It is levied on the transfer of money from one person to another at the rates specified by law by the financial institution.