“asset” includes-
(a) property of whatever nature, whether movable or immovable, corporeal or incorporeal, excluding any currency, but including any coin made mainly from gold or platinum; and
(b) a right or interest of whatever nature to or in such property;
PART I
General
EIGHTH SCHEDULE
DETERMINATION OF TAXABLE CAPITAL GAINS AND ASSESSED CAPITAL LOSSES
(Section 26A of this Act)
20. AMENDMENTS TO THIS SCHEDULE
(1) The Minister of Finance may by notice in the Gazette amend –
(a) ……….
(b) the provisions of paragraph 5(2) so as to vary the amount specified therein;
(c) the provisions of paragraph 7(4) so as to substitute a different scale for the scale specified therein and so as to vary the amounts specified in the proviso thereto;
(d) the provisions of paragraph 7(7) so as to vary the distance in kilometres specified therein;
(e) the provisions of paragraph 9(3)(a) so as to vary the amount and quantities specified therein;
(f) ……….
(g) ……….
(h) the provisions of paragraph 10(1)(a) so as to vary the amount specified therein;
(i) the provisions of paragraph 10(2) so as to vary the amount specified therein; and
(j) the provisions of paragraph 11(4)(a) so as to vary the amount specified therein.
(2) Any amendment made in terms of subparagraph (1) which is in force immediately before the date of promulgation of the Act of Parliament fixing rates of normal tax for the said year of assessment shall, unless Parliament otherwise provides, lapse on that date, and in such case it shall as from that date cease to have the force of law.
18. ANNUAL STATEMENTS BY EMPLOYERS
(1) Every employer shall on the return referred to in paragraph 14 of the Fourth Schedule declare that all taxable benefits enjoyed by employees of such employer during the period in respect of which such return was furnished, are declared on the employees’ tax certificates delivered to such employees or on any other return as may be required by the Commissioner.
(2) Every such return shall, in the case of a company, be certified as correct by a director of such company.
19. ……….
17. CERTIFICATES BY EMPLOYERS
(1) Every employer shall, within 30 days after the end of any year or period of assessment during which an employee of that employer has enjoyed any taxable benefit granted by the employer, or, in any particular case, within such further period as the Commissioner may approve, deliver to such employee a certificate which shall show the nature of such taxable benefit and the full cash equivalent of the value thereof during such year or period.
(2) The provisions of subparagraph (1) shall also apply in respect of any taxable benefit referred to in paragraph 4 or 16.
(3) Such employer shall within the said period of 30 days or the said further period, deliver to the Commissioner a copy of such certificate.
(4) . . . . . .
[Subparagraph (4) amended by section 271 read with paragraph 104(a) of Schedule 1 of Act 28 of 2011 and repealed by section 10 of Act 21 of 2021]
(5) ……….
(6) The preceding provisions of this paragraph shall not apply where the cash equivalent of such taxable benefit constituted remuneration in the hands of the employee concerned from which employees tax was deducted or withheld by the employer and such cash equivalent has been included in an employees tax certificate delivered to the employee in terms of paragraph 13 of the Fourth Schedule, except to the extent that such cash equivalent was understated in such certificate.
16. BENEFITS GRANTED TO RELATIVES OF EMPLOYEES AND OTHERS
(1) For the purposes of this Schedule and of paragraph (i) of the definition of “gross income” in section 1 of this Act, an employee shall be deemed to have been granted a taxable benefit in respect of his employment with an employer if as a benefit or advantage of or by virtue of the employee’s employment with the employer or as a reward for services rendered or to be rendered by the employee –
(a) the employer has granted a benefit or advantage (whether directly or indirectly) to a relative of the employee, other than a benefit or advantage in respect of which paragraph 10(2)(d) applies; or
(b) anything is done by the employer under any agreement, transaction or arrangement so as to confer any benefit or advantage upon any person other than the employee (whether directly or indirectly),
and such benefit or advantage, if it had been granted directly by the employer to the employee, would have constituted a taxable benefit contemplated in paragraph 2.
(2) The provisions of this Schedule shall apply in relation to the taxable benefit so deemed to have been granted as though the taxable benefit had in fact been granted to the employee.
13. PAYMENT OF EMPLOYEE’S DEBT OR RELEASE OF EMPLOYEE FROM OBLIGATION TO PAY A DEBT
(1) The cash equivalent of the value of the taxable benefit derived by reason of the payment of any amount by an employer in the circumstances contemplated in paragraph 2(h) shall be an amount equal to such amount and the cash equivalent of the benefit to an employee by reason of his release from the obligation to pay an amount owing, as contemplated in the said paragraph, shall be an amount equal to the amount that was owing.
(2) No value shall be placed under this paragraph on the value of any taxable benefit derived by reason of the fact that an employer has paid-
(a) ………..
(b) subscriptions due by his or her employee to a professional body, if membership of such body is a condition of the employee’s employment;
(bA) insurance premiums indemnifying an employee solely against claims arising from negligent acts or omissions on the part of the employee in rendering services to the employer; or
(c) any portion of the value of a benefit which is payable by a former member of a non-statutory force or service as defined in the Government Employees Pension Law, 1996 (Proclamation No. 21 of 1996), to the Government Employees’ Pension Fund as contemplated in Rule 10(6)(d) or (e) of the Rules of the Government Employees Pension Fund contained in Schedule 1 to that Proclamation.
(3) Where –
(a) in consideration for the grant by any employer (hereinafter referred to as the former employer) to an employee of any bursary, study loan or similar assistance, the employee assumed an obligation to render services to the former employer for an agreed period;
(b) in consequence of the employee having terminated his services with the former employer before the expiry of the said period and having taken up employment with another employer (hereinafter referred to as the present employer), the employee thereupon became liable to pay an amount to the former employer;
(c) such amount was paid to the former employer on the employee’s behalf by the present employer; and
(d) the employee has in consideration for such payment by the present employer assumed an obligation to render services to the present employer for a period which is not shorter than the unexpired portion of the period during which he had been obliged to render services to the former employer,
no value shall be placed under this paragraph on the value of any taxable benefit derived by reason of the payment referred to in item (c).
14. ………..
15. .……….
12C. BENEFITS IN RESPECT OF INSURANCE POLICIES
(1) The cash equivalent of the value of a taxable benefit deemed to have been granted as contemplated in paragraph 2(k) is the amount of any expenditure incurred by an employer during a year of assessment in respect of any premiums payable under a policy of insurance directly or indirectly for the benefit of an employee or his or her spouse, child, dependant or nominee.
(2) . . . . . .
[Sub-paragraph (2) deleted by section 124(1) of Act 31 of 2013 effective on 1 March, 2015 and applicable in respect of premiums paid on or after that date]
(3) Where an appropriate portion of any expenditure contemplated in subparagraph (1) cannot be attributed to the employee for whose benefit the premium is paid, the amount of that expenditure in relation to that employee is deemed, for the purposes of subparagraph (1), to be an amount equal to the total expenditure incurred by the employer during that year of assessment for the benefit of all employees divided by the number of employees in respect of whom the expenditure is incurred.
12B. INCURRAL OF COSTS RELATING TO MEDICAL SERVICES
(1) The cash equivalent of the value of the taxable benefit contemplated in paragraph 2(j) is the amount incurred by the employer during any month, directly or indirectly, in respect of any medical, denial and similar services, hospital services, nursing services or medicines in respect of that employee, his or her spouse, child or other relative or dependants.
(2) Where the payment of any amount contemplated in subparagraph (1) is made in such a manner that an appropriate portion thereof cannot be attributed to the relevant employee and his or her spouse, children, relatives and dependants, the amount of that payment in relation to that employee and his or her spouse, children, relatives and dependants is for purposes of subparagraph (1), deemed to be an amount equal to the total amount incurred by the employer during the relevant period in respect of all medical, dental and similar services, hospital services, nursing services or medicines for the benefit of all employees and their spouses, children, relatives and dependants divided by the number of employees who are entitled to make use of those services.
(3) No value must be placed in terms of this paragraph on any taxable benefit –
(a) resulting from the provision of medical treatment listed in any category of the prescribed minimum benefits determined by the Minister of Health in terms of section 67(1)(g) of the Medical Schemes Act which is provided to the employee or his or her spouse or children in terms of a scheme or programme of that employer –
(i) which constitutes the carrying on of the business of a medical scheme if that scheme or programme has been approved by the Registrar of Medical Schemes as being exempt from complying with the requirements of medical schemes in terms of that Act; or
(ii) which does not constitute the carrying on of the business of a medical scheme, if that employee and his or her spouse and children –
(aa) are not beneficiaries of a medical scheme registered under the Medical Schemes Act; or
(bb) are beneficiaries of such a medical scheme, and the total cost of that treatment is recovered from that medical scheme;
(aA) where the services are rendered or the medicines are supplied for purposes of complying with any law of the Republic;
(b) derived from an employer by –
(i) a person who by reason of superannuation, ill-health or other infirmity retired from the employ of that employer;
(ii) the dependants of a person after that person’s death, if that person was in the employ of that employer on the date of death;
(iii) the dependants of a person after that person’s death, if that person retired from the employ of that employer by reason of superannuation, ill-health or other infirmity; or
(iv) a person who during the relevant year of assessment is entitled to a rebate under section 6(2)(b); or
(c) where the services are rendered by the employer to its employees in general at their place of work for the better performance of their duties.