“remuneration” means any amount of income which is paid or is payable to any person by way of any salary, leave pay, wage, overtime pay, bonus, gratuity, commission, fee, emolument, pension, superannuation allowance, retiring allowance or stipend, whether in cash or otherwise and whether or not in respect of services rendered, including –

(a)     any amount referred to in paragraph (a), (c), (cA), (cB), (d), (e), (eA), (eD) or (f) of the definition of “gross income” in section 1 of this Act;

[Paragraph (a) substituted by section 44(1)(a) of Act 28 of 1997, by section 53(1)(b) of Act 59 of 2000, by section 6(1)(f) of Act 23 of 2015 and by section 5(1) of Act 12 of 2024 effective on 1 September, 2024 and applicable in respect of years of assessment commencing on or after that date]

(b)     any amount required to be included in such person’s gross income under paragraph (i) of that definition, excluding an amount described in paragraph 7 of the Seventh Schedule;

(bA)  any allowance or advance, which must be included in the taxable income of that person in terms of section 8(1)(a)(i), other than –

(i)      an allowance in respect of which paragraph (c) or (cA) applies; or

(ii)     an allowance or advance paid or granted to that person in respect of accommodation, meals or other incidental costs while that person is by reason of the duties of his or her office obliged to spend at least one night away from his or her usual place of residence in the Republic: Provided that where –

(aa)   such an allowance or advance was paid or granted to a person during any month in respect of a night away from his or her usual place of residence; and

(bb)   that person has not by the last day of the following month either spent the night away from his or her usual place of residence or refunded that allowance or advance to his or her employer,

that allowance or advance is deemed not to have been paid or granted to that person during that first-mentioned month in respect of accommodation, meals or other incidental costs, but is deemed to be an amount which has become payable to that person in that following month in respect of services rendered by that person;

(c)     50 per cent of the amount of any allowance referred to in section 8(1)(d) granted to the holder of a public office contemplated in section 8(1)(e),

(cA)   80 per cent of the amount of any allowance or advance in respect of transport expenses referred to in section 8(1)(b), other than any such allowance or advance contemplated in section 8(1)(b)(iii) that is based on the actual distance travelled by the recipient: Provided that where the employer is satisfied that at least 80 per cent of the use of the motor vehicle for a year of assessment will be for business purposes, then only 20 per cent of the amount of such allowance or advance must be included;

[Paragraph (cA) inserted by section 28 of Act 9 of 2006, substituted by section 17 of Act 18 of 2009, section 18 of Act 8 of 2010 and section 8 of Act 13 of 2017 effective on 1 March 2018, applies in respect of years of assessment commencing on or after that date]

(cB)   80 per cent of the amount of the taxable benefit as determined in terms of paragraph 7 of the Seventh Schedule: provided that where the employer is satisfied that at least 80 per cent of the use of the motor vehicle for a year of assessment will be for business purposes, then only 20 per cent of such amount must be included;

(cC)  100 per cent of so much of the amount paid or granted as an allowance or advance referred to in section 8(1)(b)(iii) as exceeds the amount determined by applying the rate per kilometre for the simplified method in the notice fixing the rate per kilometre under section 8(1)(b)(ii) and (iii) to the actual distance travelled;

[Paragraph (cC) to be inserted by section 8 of Act 13 of 2017 effective on 1 March 2018, applies in respect of years of assessment commencing on or after that date]

(d)     any gain determined in terms of section 8B, which must be included in that person’s income under that section;

(e)     any amount referred to section 8C which is required to be included in the income of that person;

[Paragraph (e) inserted by section 46 of Act 32 of 2004, substituted by section 6 of Act 23 of 2015 effective on 8 January 2016]

(f)      any amount deemed to be income accrued to that person in terms of section 7(11);

(g)     any amount received by or accrued to that person by way of a dividend contemplated in-

(i)      paragraph (dd) of the proviso to section 10(1)(k)(i);

(ii)     paragraph (ii) of the proviso to section 10(1)(k)(i);

(iii)    paragraph (jj) of the proviso to section 10(1)(k)(i);

(iv)    paragraph (kk) of the proviso to section 10(1)(k)(i),

[Subparagraph (iv) added by section 8 of Act 13 of 2017 effective on the date on which paragraph (f) of section 16(1) of the Taxation Laws Amendment Act, 2017, comes into operation, 18 December 2017]

[Paragraph (g) added by section 5 of Act 16 of 2016 effective on 1 March 2017 and applies in respect of any amount received or accrued on or after that date]

but not including–

(i)      ……….

(ii)     any amount paid or payable in respect of services rendered or to be rendered by any person (other than a person who is not a resident or an employee contemplated in paragraph (b), (c), (d) or (e) of the definition of “employee”) in the course of any trade carried on by him independently of the person by whom such amount is paid or payable and of the person to whom such services have been or are to be rendered: Provided that for the purposes of this paragraph a person shall be deemed not to carry on a trade independently as aforesaid if the services are required to be performed mainly at the premises of the person by whom such amount is paid or payable or of the person to whom such services were or are to be rendered and the person who rendered or will render the services is subject to the control or supervision of any other person as to the manner in which his or her duties are performed or to be performed or as to his or her hours of work: Provided further that a person will be deemed to be carrying on a trade independently as aforesaid if he throughout the year of assessment employs three or more employees who are on a full time basis engaged in the business of such person of rendering any such service, other than any employee who is a connected person in relation to such person;

[Paragraph (ii) substituted by section 47(1)(c) of Act 85 of 1974 and amended by section 44(1)(e) of Act 101 of 1990, by section 53(1)(c) of Act 59 of 2000, by section 54(1)(d), (e), (f) and (g) of Act 8 of 2007, by section 5(1)(d) of Act 16 of 2016 and by section 36 of Act 20 of 2021]

(iii)    any pension or additional pension under the Aged Persons Act, 1967 (Act No. 81 of 1967), or the Blind Persons Act, 1968 (Act No. 26 of 1968), any disability grant or additional or supplementary allowance under the Disability Grants Act, 1968 (Act No. 27 of 1968), or any grant or contribution under the provisions of section 89 of the Children’s Act, 1960 (Act No. 33 of 1960);

(iv)    ……….

(v)     ……….

(vi)    any amount paid or payable to any employee wholly in reimbursement of expenditure actually incurred by such employee in the course of his employment;

(vii)   ……….

(viii)  any annuity under an order of divorce or decree of judicial separation or under any agreement of separation;