Category: Section 24D (ITA) – Deduction of certain expenditure incurred in respect of National Key Point or specified important place or area

Section 24D

 

  1. Paragraph (1)(b) substituted by section 22 of Act 121 of 1984.

 

  1. Subsection (3) added by section 16 of Act 85 of 1987.

 

  1. Section 24D inserted by section 20 of Act 96 of 1981.

Section 24D (ITA) – Deduction of certain expenditure incurred in respect of any National Key Point or specified important place or area

Posted on by admin_kmos

24D.  Deduction of certain expenditure incurred in respect of any National Key Point or specified important place or area

(1)     There shall be allowed to be deducted from the income of any taxpayer for any year of assessment so much of any expenditure actually incurred by the taxpayer during such year –

[Words preceding paragraph (a) substituted by section 43 of Act 25 of 2015 effective on 8 January 2016]

(a)     directly in the performance of any act ordered, performed or executed under the provisions of the National Key Points Act, 1980 (Act No. 102 of 1980), in respect of any National Key Point or Key Point as defined in section 1 of that Act; or

(b)     directly in providing efficient security against loss, damage, disruption or immobilization of any place or area as defined in section 1 of the said Act which, although not declared a National Key Point under the provisions of the said Act, has been evaluated and approved by the Minister of Defence or any person or committee appointed by him as such a place or area in respect of which measures for the efficient security thereof ought to be taken by such taxpayer.

(2)     The amount of any expenditure allowed to be deducted under the provisions of subsection (1) shall be restricted to expenditure –

(a)     actually incurred by the taxpayer on or after 1 September 1978; and

(b)     which was or is not otherwise allowable as a deduction under the provisions of this Act,

and no expenditure shall be deducted under the provisions of this section unless the Minister of Defence or any person or committee appointed by that Minister has confirmed in writing that it was deemed necessary or expedient that the expenditure in question be incurred by the taxpayer concerned.

[Words following paragraph (b) substituted by section 43 of Act 25 of 2015 effective on 8 January 2016]

(3)     Where an amount has been paid by the State to a taxpayer in respect of expenditure incurred by him prior to 1 July 1983 which has qualified for deduction from his income under subsection (1) and the Minister, person or committee referred to in subsection (2) confirms that such amount was paid as a supplement to the benefit which the taxpayer has enjoyed or will enjoy by way of the said deduction, the provisions of section 8(4)(a) shall not apply in respect of the said amount [K-MOS].