by Coert Coetzee

Tax investment

How to turn a 45% potential tax payment into a 270% return on investment in only 5 years!

Many radical people in South Africa say we should stop paying tax until the government stop stealing it and start using it correctly for what it's intended for, namely building and maintaining infrastructure and providing services like education, water and electricity. Beware, it's illegal to stop paying tax in order to protest, but  there is a legal way to protest with your tax money – it's even promoted by SARS. 

I think SARS is just as “gatvol” of the corrupt politicians and they also want the taxes to be used for what they are intended for. Just like us, SARS also wants taxes to be spent on things like:

  • Security
  • Education 
  • Job Creation 
  • Manufacturing 
  • Renewable Energy
  • Desalination of seawater 

Very few taxpayers know that 10 years ago, SARS started a program which will keep tax away from the greedy politicians. Apparently SARS doesn't mind if your tax money is not going to them, just as long as it still goes to the sectors above.

On the 1st of January 2009 SARS launched the Section 12J Venture Capital Company (VCC) concept, which is a legal alternative for paying tax. SARS now gets less tax, but the country and the population get a lot more. To top it all off, the taxpayers are compensated directly and massively because every cent invested in a SECTION 12J VCC for five years, is 100% tax deductible, capital growable and refundable!

What are Venture Capital Companies? 

SARS says; 

“One of the main challenges to the growth of small and medium-sized businesses and junior mining exploration is access to equity finance. To assist these sectors in terms of equity finance, the government has implemented a tax incentive for investors in these enterprises through a venture capital company (VCC) regime. 

VCCs are intended to be a marketing vehicle that will attract retail investors. An investor is any taxpayer who qualifies to invest in an approved Venture Capital Company. They have the benefit of bringing together small investors as well as concentrating investment expertise in favour of the small business sector.

From 1 January 2009, investors can claim amounts incurred on acquiring VCC shares as a deduction from income.  This deduction will not be subject to recoupment if the VCC shares are held for longer than five years.”


Destinata Capital Ltd., a SARS registered Section 12J Financial Service Provider (FSP 48729) is the best alternative for taxpayers.


Because Destinata Capital Limited (DCL) is one of only a few public 12J Venture Capital Companies in South Africa and, the only one as far as I know, with a Registered Prospectus. It means any South African can buy shares for any amount in DCL ,and by doing that you get:

  • A 100% Tax Deduction equal to the invested capital
  • Dividends on your 12J shares
  • Capital Growth on your share value

How much is a 100% deduction?

Tax on income and profit in SA, depending in the amount and the type of entity, can be anything between 18% and 45%. Let's use 45% for the examples in this article.

That means, if you're on a rate of 45%, and you made a SARS 12J investment in Destinata Capital, an immediate, SARS guaranteed, return of 45% on investment was achieved.

If you paid tax the conventional way it will probably be wasted or stolen within the first year with zero benefits, returns or refunds.

With a SARS 12J VCC, the invested capital is not just refundable in full after five years, it is also working and growing for your country and your own direct benefit, because over and above the SARS guaranteed tax return of 45%, our aim with DCL is to achieve an investment return of more than 20% every year. Given the fact that SARS “sponsor or gear” R45k on, for example, a R100k investment, only R55k of your own money is invested. If we now achieve our goals on top of this excellent sponsored base, an average return on investment of more than 50% per annum is easy to achieve and if your TTS Family Trust is the investor, all returns and capital growth are also 100% tax-free thanks to the Conduit Principle of SARS!

SARS is actually not just giving us a tax break, they are also giving us money to invest for our own account. You'll be stupid not to accept their offer!

So, my dear South Africans, you now have to choose; Invest your profits in our DCL or pay tax on it!

If you choose wisely, like any person with even one brain cell will do, contact immediately, and our registered tax practitioners will help you!

Beware, time is limited because this window closes on 28 February 2019 when the 2018/19 tax year closes. You cannot, and I repeat, YOU CANNOT do this after closing of the tax year!

Rather CONTACT US BEFORE FEBRUARY to ensure everything is ready in time and your tax certificates are issued before 28 February. They cannot be backdated!

PLEASE NOTE: The minimum investment with DCL 12J VCC (FSP 48729) is R100,000 

BUSINESS OPPORTUNITY for Accountants, Financial Advisors and Networkers

If you refer Destinata Capital Limited to your network, friends or clients, DCL will compensate you! We pay a referral fee of 2% on the investments you refer to us. It means for every R1m your referrals invest with us, you earn R20,000!

Contact us urgently if you want to join, invest or refer! 


If you want to meet us first or want us to explain it to your referrals, the following Roadshow is your opportunity!

We are going to explain the whole 12J VCC concept and calculations in a short presentation on the following dates and places:

  • 21 January Bloemfontein at Windmill Casino 
  • 22 January Midrand at Gallagher Estate 
  • 24 January Somerset West at Lord Charles Hotel
  • 28 January Durban at Mt. Edgecombe Estate

Presenters: Coert Coetzee and Johannes Maree, CEO of the Destinata Group

Starting Time: 18:00

Duration: 60 Minutes

Fee: R100 per person in advance

Book your seat now with 

We also cover the full 12J concept on the full day Wealth Masters seminar on 23 January in Gauteng.


Coert Coetzee

Founder of the Destinata Group