(1)     For the purposes of this section-

 

‘covered person’ means-

(a)     any authorised user as defined in section 1 of the Financial Markets Act that is a company, other than any company of which the principal trading activities constitute the activities of a treasury operation;

[Paragraph (a) substituted by section 46 of Act 15 of 2016 effective on 1 January 2017, applies in respect of years of assessment ending on or after that date]

(b)     the South African Reserve Bank;

(c)     any-

(i)      bank;

(ii)     branch;

(iii)    branch of a bank; or

(iv)    controlling company,

as defined in section 1 of the Banks Act;

(d)     any company or trust that forms part of a banking group as defined in section 1 of the Banks Act, excluding-

(i)      a company that is a long-term insurer as defined in section 1 of the Long-term Insurance Act;

(ii)     a company that is a short-term insurer as defined in section 1 of the Short-term Insurance Act;

(iii)    a company of which more than 50 per cent of the shares are directly or indirectly held by a company contemplated in subparagraph (i) or (ii) if that company does not form part of the same group of companies as a bank;

(iv)    any subsidiary, as defined in section 1 of the Companies Act, of a company contemplated in subparagraph (i) or (ii);

[Subparagraph (iv) added by section 44 of Act 17 of 2017 effective on 1 January 2018, applies in respect of years of assessment commencing on or after that date]

“derivative” means a derivative as defined in and within the scope of IFRS 9;

[Definition of “derivative” substituted by section 44 of Act 17 of 2017 effective on 1 January 2018, applies in respect of years of assessment commencing on or after that date]

‘financial asset’ means-

 

(a)     a financial asset defined in and within the scope of International Accounting Standard 32 of IFRS or any other International Accounting Standard that replaces International Accounting Standard 32; and

 

(b)     a commodity taken into account in terms of IFRS at fair value less cost to sell in profit or loss in the statement of comprehensive income;

‘financial instrument’……….

[Definition of “financial instrument” deleted by section 43 of Act 43 of 2014 effective on 1 January 2014]

‘financial liability’ means a financial liability defined in and within the scope of International Accounting Standard 32 of IFRS or any International Accounting Standard that replaces International Accounting Standard 32;

‘financial reporting value’, in relation to a financial asset or a financial liability, means the value, as determined for the purposes of financial reporting pursuant to IFRS, of that financial asset or financial liability;

‘post-realisation years’, in relation to a covered person, means-

 

(a)     the year of assessment immediately succeeding the realisation year;

 

(b)     the year of assessment immediately succeeding the year of assessment contemplated in paragraph (a);and

 

(c)     the year of assessment immediately succeeding the year of assessment contemplated in paragraph (b);

‘realisation year’, in relation to a person, means-

 

(a)     where that person is a covered person, the year of assessment of that person immediately preceding the year of assessment ending on or after 1 January 2014; or

 

(b)     where that person becomes a covered person during any year of assessment ending after 1 January 2014, the year of assessment of that person that precedes the first year of assessment of that person in which that person becomes a covered person;

‘tax base’ means tax base as defined in International Accounting Standard 12 of IFRS or any International Accounting Standard replacing International Accounting Standard 12.