11.    INTERIM PAYMENTS

(1)     A registered micro business must, within six calendar months from the first day of the year of assessment-

(a)     estimate the taxable turnover for the year of assessment;

(b)     calculate the amount of tax payable on the estimated taxable turnover; and

(c)     pay an amount equal to 50 per cent of the amount of tax so calculated.

(2)     The estimate described in paragraph (1)(a) may not be less than the taxable turnover of the previous year of assessment unless the Commissioner, on application by the taxpayer and having regard to the circumstances, approves a lower estimate.

[Subparagraph (2) substituted by section 91 of Act 25 of 2015 effective on 8 January 2016] 

(3)     Where full payment of the amount described in subparagraph (1)(c) is not received by the Commissioner within six calendar months from the first day of the year of assessment, interest at the prescribed rate is payable from the first day after the six calendar months to the earlier of the date on which the shortfall is received and the last day of the year of assessment.

(4)     A registered micro business must, by the last day of the year of assessment-

(a)     estimate the taxable turnover for the year of assessment;

(b)     calculate the amount of tax payable on the estimated taxable turnover; and

(c)     pay an amount equal to the amount of tax so calculated less the amount paid in terms of subparagraph (1).

(4A)   For the purposes of paragraph 2(1) of the Fourth Schedule, section 89bis(2), section 6 of the Skills Development Levies Act, 1999 (Act No. 9 of 1999), and section 8 of the Unemployment Insurance Contributions Act, 2002 (Act No. 4 of 2002), a registered micro  business may elect to pay the amounts deducted or withheld in terms of that paragraph or those sections to the Commissioner-

(i)      with regard to amounts deducted or withheld during the first six calendar months from the first day of the year of assessment, within seven days after the end of such period; and

(ii)     with regard to amounts deducted or withheld within the next six calendar months following the period in item (i), within seven days after the end of such period.

(4B)   If a registered micro business has made an election in terms of subparagraph (4A), the election must apply to all amounts deducted or withheld in terms of the applicable provisions referred to in that subparagraph.

(5)     Where full payment of the amount described in subparagraph (4)(c) is not received by the Commissioner by the last day of the year of assessment, interest at the prescribed rate is payable from the day following the last day of the year of assessment to the earlier of the date on which the shortfall is received and the due date of the assessment for that year of assessment.

(6)     Where the estimate described in subparagraph 4(a) is less than 80 per cent of the taxable turnover for the year of assessment, a penalty, which is deemed to be a percentage based penalty imposed under Chapter 15 of the Tax Administration Act, equal to 20 per cent of the difference between the tax payable on 80 per cent of the taxable turnover for the year of assessment and the tax payable on that estimate must be charged.

[Subparagraph (6) substituted by section 271 of Act 28 of 2011 effective on 1 October 2012 and section 26 of Act 21 of 2012 effective on 20 December 2012 – comes into operation in terms of section 26 of Act 21 of 2012 as amended by section 67 of Act 44 of 2014]

(7)     Where the Commissioner is satisfied that the estimate described in subparagraph (4)(a) was not deliberately or negligently understated and was seriously made based on the information available, or is partly so satisfied, the Commissioner must waive the penalty charged in terms of subparagraph (6) in full or in part.

[Subparagraph (7) substituted by section 26 of Act 21 of 2012 effective on 20 December 2012 – comes into operation in terms of section 26 of Act 21 of 2012 as amended by section 67 of Act 44 of 2014]

(8)     Where the Commissioner has issued an assessment in respect of the payment required in terms of subparagraph (4), a penalty must not be imposed in terms of subparagraph (6).

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