“interest” means interest as contemplated in paragraph (a) or (b) of the definition of “interest” in section 24J(1), but does not include an amount of interest that is deemed to be a dividend in specie in terms of section 8F(2) or 8FA(2);
[Definition of “interest” inserted by section 70(1) of Act 25 of 2015 and substituted by section 31(1)(b) of Act 20 of 2021 effective on 1 January, 2022 and applicable in respect of amounts paid on or after that date]
‘Industrial Development Corporation’ means the Industrial Development Corporation of South Africa Limited, registered in terms of the Industrial Development Corporation Act, 1940 (Act No. 22 of 1940);
‘foreign person’ means any person that is not a resident;
‘Development Bank of Southern Africa’ means the Development Bank of Southern Africa Limited, incorporated in terms of the Development Bank of Southern Africa Act, 1997 (Act No. 13 of 1997);
‘bank’ means any-
(a) any bank or branch as defined in section 1 of the Banks Act respectively;
[Paragraph (a) substituted by section 64 of Act 43 of 2014 effective on 1 March 2015 – comes into operation in terms of section 64 of Act 43 of 2014 as substituted by section 153 of Act 25 of 2015]
(b) mutual bank as defined in section 1 of the Mutual Banks Act, 1993 (Act No. 124 of 1993); or
(c) co-operative bank as defined in section 1 of the Co-operative Banks Act, 2007 (Act No. 40 of 2007);
50A. Definitions
In this Part-
PART IVB
Withholding tax on interest
49H. Currency of payments made to Commissioner
If an amount withheld by a person in terms of section 49E(1) is denominated in any currency other than the currency of the Republic, the amount so withheld must, for the purposes of determining the amount to be paid to the Commissioner in terms of section 49F(2), be translated to the currency of the Republic at the spot rate on the date on which the amount was so withheld.
[Section 49H inserted by section 63 of Act 43 of 2014 effective on 1 July 2013]
40E. Ceasing to be controlled foreign company
Where a controlled foreign company ceases to be a controlled foreign company during any foreign tax year of that controlled foreign company prior to 5 June 2015 solely by reason of the coming into operation of the Taxation Laws Amendment Act, 2015, section 9H(3)(b) must not apply.
[Section 40E inserted by section 60 of Act 25 of 2015 effective on 31 December 2015]
37D. Allowance in respect of land conservation in respect of nature reserves or national parks
(1) For the purposes of this section, ‘declared land’ means-
(a) land owned by a person and that is declared a national park or nature reserve in terms of an agreement entered into with that person under section 20 or 23 of the National Environmental Management: Protected Areas Act, 2003 (Act No. 57 of 2003); and
(b) land in respect of which an endorsement is effected to the title deed of that land that reflects the declaration contemplated in paragraph (a) and has a duration of at least 99 years.
[Paragraph (b) substituted by section 53 of Act 23 of 2018 effective on 17 January 2019]
(2) There must be allowed to be deducted from the income of any person in respect of declared land, in the year of assessment during which that land becomes declared land and in each subsequent year of assessment, an amount equal to four per cent of-
(a) the expenditure incurred in respect of-
(i) the acquisition of the declared land; and
(ii) improvements effected to the declared land (other than borrowing or finance costs),
if that expenditure is not less than the lower of market value or municipal value of that declared land; or
[Words following paragraph (a) substituted by section 53 of Act 23 of 2018 effective on 17 January 2019]
(b) an amount determined in accordance with the formula:
A = B + (C x D)
in which formula-
(i) ‘A’ represents the amount to be determined;
(ii) ‘B’ represents the cost of acquisition of the declared land and of any improvements to that land;
(iii) ‘C’ represents the amount of a capital gain (if any), that would have been determined in terms of the Eighth Schedule had the declared land been disposed of for an amount equal to the lower of the market value or municipal value of that land on the date of the agreement; and
(iv) ‘D’ represents 60 per cent in the case of a natural person or special trust or 20 per cent in any other case,
[Subparagraph (iv) substituted by section 53 of Act 15 of 2016 effective on 1 March 2016, applies in respect of years of assessment commencing on or after that date]
if the lower of market value of the declared land or municipal value of that declared land exceeds the expenditure contemplated in paragraph (a).
[Words following paragraph (b) substituted by section 53 of Act 23 of 2018 effective on 17 January 2019]
[Paragraphs following the formula substituted by section 53 of Act 15 of 2016 effective on 1 March 2015, applies in respect of years of assessment commencing on or after that date]
(3) If a person retains a right of use of the declared land, the deduction to be allowed in terms of this section must be limited to an amount that bears to the amount determined as contemplated in subsection (2) the same ratio as the market value of the declared land subject to the right of use bears to the market value of the declared land had that declared land not been subject to that right of use.
[Subsection (3) substituted by section 53 of Act 23 of 2018 effective on 17 January 2019]
(4) The deductions which may be allowed in terms of this section in respect of declared land must not in aggregate exceed the expenditure incurred as referred to in subsection (2)(a) or the amount referred to in symbol ‘A’ under subsection (2)(b), as the case may be.
(5) If the agreement in respect of which the land that becomes declared land is terminated by the person with which the agreement is entered into, an amount equal to the aggregate of the deductions allowed in terms of this section in the five years of assessment preceding the termination must be included in the income of that person in the year of assessment that the agreement is terminated.
[Section 37D inserted by section 27 of Act 101 of 1990, repealed by section 50 of Act 35 of 2007, re-inserted by section 53 of Act 43 of 2014 effective on 1 March 2015]