Category: CHAPTER III – General Provisions (ITA)

Section 111 (ITA) – Repeal of laws

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111.     Repeal of laws

 

(1)     Subject to the provisions of subsection (2), the laws specified in the Third Schedule are hereby repealed to the extent set out in the third column of that Schedule: Provided that any tax or other amount which but for such repeal would have been capable of being levied, assessed or recovered and which has not been levied, assessed or recovered at the commencement of this Act, may be levied, assessed or recovered as if such repeal had not been effected HIA.

 

(2)     Any notice or proclamation issued or regulation made or anything done under any provision of a law repealed by subsection (1) shall be deemed to have been issued, made or done under the corresponding provision of this Act.

Section 89bis (ITA) – Payments of employees’ tax and provisional tax and interest on overdue payments on such taxes

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89bis.     Payments of employees’ tax and provisional tax and interest on overdue payments of such taxes

 

(1)     ……….

 

(2)     If any amount of employees’ tax is not paid in full within the period of seven days prescribed for payment of such amount by paragraph 2(1) of the Fourth Schedule, or if any amount of provisional tax is not paid in full within the relevant period prescribed for payment of such amount by paragraph 21, 23, 23A or 25(1) of that Schedule, interest shall, unless the Commissioner having regard to the circumstances of the case otherwise directs, be paid by the person liable to pay the amount in question at the prescribed rate (but subject to the provisions of section 89quin) on so much of such amount as remains unpaid in respect of the period (reckoned from the end of the relevant period prescribed as aforesaid for payment of such amount) during which the amount underpaid remains unpaid.

[Subsection (2) amended by section 26(1) of Act 91 of 1982, by section 32(1) of Act 121 of 1984 and by section 21 of Act 65 of 1986 and substituted by section 11 of Act 18 of 2023]

 

(3)     ……….

 

89ter.  ……….

 

PART III – Objections and Appeals (ITA)

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PART III

Objections and Appeals

81.  ……….

82.  ……….

 

83.  ……….

 

84.  ……….

 

85.  ……….

 

86.  ……….

 

87.  ……….

 

88      Payment of tax pending objection and appeal


(1)      . . . . . .

[Subsection (1) repealed by section 271 read with paragraph 66 of Schedule 1 of Act 28 of 2011]

(2)      . . . . . .

[Subsection (2) repealed by section 271 read with paragraph 66 of Schedule 1 of Act 28 of 2011]

(3)     . . . . . .

[Subsection (3) repealed by section 271 read with paragraph 66 of Schedule 1 of Act 28 of 2011]

(4)      . . . . . .

[Subsection (4) repealed by section 271 read with paragraph 66 of Schedule 1 of Act 28 of 2011]

(5)     Where any assessment is altered in accordance with—


(a)     an objection or appeal;


(b)     a decision by a court of law under section 86A; or


(c)     a decision by the Commissioner to concede the appeal to the tax board or the tax court or that court of law,


a due adjustment must be made, amounts paid in excess refunded with interest at the prescribed rate, the interest being calculated from the date that excess was received by the Commissioner to the date the refunded tax is paid, and amounts short-paid being recoverable with interest calculated as provided in section 89.


(6)     The payment by the Commissioner of any interest under the provisions of this section shall be deemed to be a drawback from revenue charged to the National Revenue Fund.


(7)     The provisions of section 102(3) apply mutatis mutandis in respect of any amount refundable and any interest payable by the Commissioner under this section.

[Section 88 amended by section 12 of Act 6 of 1963, substituted by section 44 of Act 85 of 1974, amended by section 25 of Act 103 of 1976 and by section 24(1) of Act 91 of 1982, substituted by section 30(1) of Act 121 of 1984, by section 17(1) of Act 70 of 1989 and by section 40 of Act 113 of 1993, amended by section 14(1) of Act 140 of 1993, by section 60(1) of Act 60 of 2001, by section 14 of Act 32 of 2005 and by section 17(1) of Act 4 of 2008 and substituted by section 13(1) of Act 18 of 2009 effective on 1 February, 2011 and applicable to all amounts payable by or to the Commissioner on or after such date, and where payment was already suspended on such date, that suspension will lapse on the earlier of the expiry date thereof or six months from the date so determined by the Minister – section 13 of Act 18 of 2009 pending repeal by section 271 read with paragraph 196 of Schedule 1 of Act 28 of 2011 superseded by repeal of section 88(5)-(7) of this Act by section 271 read with paragraph 66 of Schedule 1 of Act 28 of 2011]

Subsections 2, 3 and 4 of section 80E of ITA

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(2)     A person may be an accommodating or tax-indifferent party whether or not that person is a connected person in relation to any party,

 

(3)     The provisions of this section do not apply if either –

 

(a)     the amounts derived by the party in question are cumulatively subject to income tax by one or more spheres of government of countries other than the Republic which is equal to at least two-thirds of the amount of normal tax which would have been payable in connection with those amounts had they been subject to tax under this Act; or

 

(b)     the party in question continues to engage directly in substantive active trading activities in connection with the avoidance arrangement for a period of at least 18 months: Provided these activities must be attributable to a place of business, place, site, agricultural land, vessel, vehicle, rolling stock or aircraft that would constitute a foreign business establishment as defined in section 9D(1) if it were located outside the Republic and the party in question were a controlled foreign company.

 

(4)     For the purposes of subsection (3)(a), the amount of tax imposed by another country must be determined after taking into account any applicable agreements for the prevention of double taxation and any assessed loss, credit or rebate to which the party in question may be entitled or any other right of recovery to which that party or any connected person in relation to that party may be entitled.