Category: Mineral and Petroleum Resources Royalty (Administration) Act No. 29 of 2008

“Year of assessment” definition of section 1 of MPRAA

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“year of assessment”, in relation to a registered person, means-

(a)     in the case of a natural person or trust, the period commencing on 1 March and ending on the last day of February of the following year; and

(b)     in the case of any other person—

(i)      the period commencing on 1 March 2010 and ending on the last day of the financial year in which that period falls; or

(ii)     the period commencing on the first day of that person’s financial year and ending on the last day of that financial year, and if any financial year begins on any day other than the first day of a month, that financial year is deemed to begin on the first day of that month.

[Paragraph (b) substituted by section 33(1) of Act 8 of 2010 deemed effective on 1 March, 2010]

(2)     Unless the context indicates otherwise, a word or expression to which a meaning has been assigned in the Royalty Act bears the meaning so assigned for purposes of this Act.

(3)     Unless the context indicates otherwise, a word or expression to which a meaning has been assigned in the Tax Administration Act, bears that meaning for purposes of this Act.

[Subsection (3) inserted by section 271 read with paragraph 183(e) of Sch. 1 of Act 28 of 2011]

“Tax Administration Act” definition of section 1 of MPRAA

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“Tax Administration Act” means the Tax Administration Act, 2011 (Act 28 of 2011);

[Definition of “Tax Administration Act” inserted by section 271 read with paragraph 183(d) of Sch. 1 of Act 28 of 2011 and substituted by section 33(1)(d) of Act 16 of 2016 effective on 1 January, 2017 and applicable in respect of years of assessment commencing on or after that date]

MPRAA Index

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ARRANGEMENT OF SECTIONS

[Arrangement of Sections substituted by section 32(1) of Act 16 of 2016 effective on 1 January, 2017 and applicable in respect of years of assessment commencing on or after that date]

Part I
Interpretation

Section 1 – Definitions

Part II
Registration

Section 2 – Registration

Section 3 – Cancellation of registration

Section 4 – Election for unincorporated body of persons

Part III
Estimates, returns, payments, adjusted estimates, refunds and records

Section 5 – Estimates, returns and payments

Section 5A – Adjustments of estimates

Section 6 – Payments and returns

Section 6A – Refunds

Section 7 – Repealed

Section 8 – Maintenance of records

Part IV

Repealed

Section 9 – Repealed

Section 10 – Repealed

Section 11 – Repealed

Part V
Penalties and interest

Section 13 – Repealed

Section 14 – Penalty for underpayment as a result of underestimation of royalty payable

Section 15 – Repealed

Section 16 – Interest

Part VI
Miscellaneous

Section 17 – Administration of Act

Section 18 – Repealed

Section 19 – Reporting, secrecy and disclosure

Section 20 – Regulations

Section 21 – Short title and commencement

BE IT ENACTED by the Parliament of the Republic of South Africa, as follows:

MPRAA Citation

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Reproduced under Goverment Printer’s Authorisation (Authorisation No. 11837) dated 30 November 2020.

Please remember to periodically “Check for Updates”!

MINERAL AND PETROLEUM RESOURCES ROYALTY (ADMINISTRATION) ACT 29 OF 2008

 

(English text signed by the President)

[Assented To 21 November, 2008]

(Date Of Commencement: 1 May, 2009)

as amended by

Taxation Laws Second Amendment Act 18 of 2009

Voluntary Disclosure Programme and Taxation Laws Second Amendment Act 8 of 2010

Tax Administration Act 28 of 2011

Tax Administration Laws Amendment Act 21 of 2012

Tax Administration Laws Amendment Act 39 of 2013

Tax Administration Laws Amendment Act 23 of 2015

Tax Administration Laws Amendment Act 16 of 2016

Latest 2024 Live Updates: COMPLETED!

Tax Administration Laws Amendment Act 18 of 2023

ACT

To provide for the administration of matters in connection with the imposition of a royalty on the transfer of mineral resources and for matters connected therewith.

Section 8 (MPRAA) – Maintenance of records

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8     Maintenance of records

In addition to the records required under the Tax Administration Act, a registered person must retain the following records in respect of mineral resources extracted from within the Republic:

(a)     particulars of “earnings before interest and taxes” as mentioned in section 5 of the Royalty Act with sufficient detail to identify all the gross sales, income and allowable deductions in respect of those earnings;

(b)     particulars of “gross sales” as mentioned in section 6 of the Royalty Act with sufficient detail to identify all transferred mineral resources in respect of those gross sales and the persons acquiring those transferred mineral resources;

(c)     the quantity of mineral resources—

(i)      extracted but not transferred; and

(ii)     transferred,

by that registered person with sufficient detail to identify the mineral resources extracted but not transferred and the mineral resources transferred;

(d)     the accounting income with sufficient detail to identify the “earnings before interest and taxes” as mentioned in section 5 of the Royalty Act that relate to that accounting income;

(e)     any ledger, cash book, journal, cheque book, bank statement, deposit slip, paid cheque, invoice, other book of account or financial statement; and

(f)      any information specifically required by the Commissioner by public notice.

[Section 8 amended by section 271 read with paragraph 187(a) and (b) of Schedule 1 of Act 28 of 2011 and substituted by section 39(1) of Act 16 of 2016 effective on 1 January, 2017 and applicable in respect of years of assessment commencing on or after that date]


Part IV
Repealed

[Part IV repealed by section 40(1) of Act 16 of 2016 effective on 1 January, 2017 and applicable in respect of years of assessment commencing on or after that date]

9  . . . . . .

[Section 9 amended by section 271 read with paragraph 188 of Schedule 1 of Act 28 of 2011 and repealed by section 40(1) of Act 16 of 2016 effective on 1 January, 2017 and applicable in respect of years of assessment commencing on or after that date]

10  . . . . . .

[Section 10 repealed by section 271 read with paragraph 189 of Schedule 1 of Act 28 of 2011 and by section 40(1) of Act 16 of 2016 effective on 1 January, 2017 and applicable in respect of years of assessment commencing on or after that date]

11  . . . . . .

[Section 11 repealed by section 271 read with paragraph 189 of Schedule 1 of Act 28 of 2011 and by section 40(1) of Act 16 of 2016 effective on 1 January, 2017 and applicable in respect of years of assessment commencing on or after that date]

12     . . . . . .

[Section 12 repealed by section 271 read with paragraph 189 of Schedule 1 of Act 28 of 2011 and by section 40(1) of Act 16 of 2016 effective on 1 January, 2017 and applicable in respect of years of assessment commencing on or after that date]

Section 6A (MPRAA) – Refunds

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6A      Refunds

If in respect of a year of assessment the amount of the royalty payable by a registered person is less than the sum of the payments made by that registered person in terms of sections 5, 5A and 6, the excess must be refunded by the Commissioner to the registered person under Chapter 13 of the Tax Administration Act.

[Section 6A inserted by section 38(1) of Act 16 of 2016 effective on 1 January, 2017 and applicable in respect of years of assessment commencing on or after that date]


7   . . . . . .

[Section 7 repealed by section 271 read with paragraph 186 of Sch. 1 of Act 28 of 2011]

Section 6 (MPRAA) – Payments and returns

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6      Payments and returns

(1)     . . . . . .

[Subsection (1) substituted by section 28 of Act 39 of 2013 and deleted by section 37(1)(b) of Act 16 of 2016 effective on 1 January, 2017 and applicable in respect of years of assessment commencing on or after that date]

(2)     If the amount of the royalty payable in respect of a year of assessment exceeds the sum of the payments made in terms of sections 5(1) and (2) and 5A, the registered person must—

(a)     submit a return of that excess; and

(b)     pay the excess,

not later than six months after the last day of that year of assessment.

[Subsection (2) substituted by section 37(1)(c) of Act 16 of 2016 effective on 1 January, 2017 and applicable in respect of years of assessment commencing on or after that date]

(3)     A registered person must submit a final return for the royalty payable in respect of a year of assessment not later than 12 months after the last day of that year of assessment.

[Subsection (3) inserted by section 37(1)(d) of Act 16 of 2016 effective on 1 January, 2017 and applicable in respect of years of assessment commencing on or after that date]

[Section 6 amended by section 37(1)(a) of Act 16 of 2016 effective on 1 January, 2017 and applicable in respect of years of assessment commencing on or after that date]