“Interest” definition of section 24J of ITA

“interest” includes the –


(a)     gross amount of any interest or similar finance charges, discount or premium payable or receivable in terms of or in respect of a financial arrangement;

[Paragraph (a) substituted by section 45 of Act 15 of 2016 effective on 19 January 2017]


(b)     amount (or portion thereof) payable by a borrower to the lender in terms of any lending arrangement as represents compensation for any amount to which the lender would, but for such lending arrangement, have been entitled; and


(c)     absolute value of the difference between all amounts receivable and payable by a person in terms of a sale and leaseback arrangement as contemplated in section 23G throughout the full term of such arrangement, to which such person is a party,


irrespective of whether such amount is –


(i)      calculated with reference to a fixed rate of interest or a variable rate of interest; or


(ii)     payable or receivable as a lump sum or in unequal instalments during the term of the financial arrangement;