Rates A local tax on property often imposed by a municipality.

Rating agency Institutions that evaluate the ability of countries or other borrowers to honour their international and domestic debt obligations. Credit ratings are used by international investors as indications of sovereign risk.

Real effective exchange rate A measure of the rate of exchange of the rand relative to a trade-weighted average of South Africa's trading partners' currencies, adjusted for price trends in South Africa and the countries included.

Real exchange rate The level of the exchange rate taking account of inflation differences.

Real expenditure Expenditure measured in constant prices, i.e. after taking account of inflation.

Real wage The return, or wage, to employees, measured at a constant price level.

Rebate When an individual taxpayer calculates their tax liability according to the tables, the amount calculated is reduced by a specific amount in order to calculate the final liability.  The rebate applicable to all individual taxpayers, is known as a Primary Rebate. This rebate is R7 740 for the 2007/08 tax year.  If you turn 65 during a particular tax year, or are older than 65, you qualify for an additional rebate known as a Secondary Rebate or an "Over-65" rebate.  This rebate, which is over and above the primary rebate, is R4 680 for the 2007/08 tax year.

Recession A period in which national output and income decline. A recession is usually defined as two consecutive quarters of negative growth.

Regional integration An economic policy intended to boost economic activity in a geographical area extending beyond one country.

Remuneration The costs of personnel including salaries, housing allowances, car allowances and other benefits received by personnel.

Repurchase (repo) rate The rate at which the Reserve Bank lends to commercial banks.

Repurchase agreements Short-term contracts between the Reserve Bank and private banks in the money market to sell specified amounts of money at an interest rate determined by daily auction.

Reserves (foreign exchange) Holdings of foreign exchange, either by the Reserve Bank only or by the Reserve Bank and domestic banking institutions.

Residence A residence, for Capital Gains Tax (CGT) purposes, includes any structure used as a dwelling-place by a natural person for domestic purposes. It would include a free-standing or semi-detached house, townhouse, cluster home, apartment or flat, but can also include a caravan, boat, camper, or mobile home. See also Residential property

Residence-based income tax system A tax system in which the worldwide income accruing to a resident of a country is subject to the taxes of that country.

Residential property A residential property is defined in Section 1 of the Transfer Duty Act, and includes any dwelling-house, holiday home, apartment or similar abode, improved or unimproved land zoned for residential use in the Republic (including any real right thereto), other than an apartment complex, hotel, guesthouse or similar structure consisting of five or more units held by a person which has been used for renting to five or more persons (who are not connected persons), or any "fixed property" of a "vendor" forming part of an "enterprise" all as defined in section 1 of the Value-Added Tax Act. See also Residence

Residential property company In terms of a December 2002 amendment to the Transfer Duty Act, a residential property company is any company that holds property that constitutes residential property (or a contingent right contemplated in paragraph (f) of the definition of "property"), and where the fair value of that property or contingent right comprises more than 50 per cent of the aggregate fair market value of all the assets held by that company on the date of acquisition of an interest in that company.

Retained profit/loss The net profit/loss of a company or close corporation which has not been distributed by way of dividends to shareholders or distribution to members

Ring-fencing This is the practice whereby an assessed loss from one trade may not be set off against the taxable income from another trade.  Under Section 20A, such losses may be carried forward, and provided that taxable income is derived from the same trade in a future year, the loss can be set off against such income (but not against any other income).  The section applies only to individual taxpayers on the maximum marginal rate of tax, and also applies only to losses incurred from specific trades, which are: sporting activities; dealing in collectibles; rental of residential accommodation (unless at least 80% thereof is used by persons who are not relatives of the taxpayer for at least half of the tax year); showing of animals; part-time farming or animal-breeding; performing or creative arts; and betting or gambling