“Company” definition of section 1 of ITA

Posted on by admin_kmos

“company” includes-

(a)    any association, corporation or company (other than a close corporation) incorporated or deemed to be incorporated by or under any law in force or previously in force in the Republic or in any part thereof, or any body corporate formed or established or deemed to be formed or established by or under any such law; or

(b)     any association, corporation or company incorporated under the law of any country other than the Republic or any body corporate formed or established under such law; or

(c)     any co-operative; or

(d)     any association (not being an association referred to in paragraph (a) or (f) formed in the Republic to serve a specified purpose, beneficial to the public or a section of the public; or

(e)     any –

(i)      ……….
 

(ii)     portfolio comprised in any investment scheme carried on outside the Republic that is comparable to a portfolio of a collective investment scheme in participation bonds, a portfolio of a collective investment scheme in securities or a portfolio of a hedge fund collective investment scheme in pursuance of any arrangement in terms of which members of the public (as defined in section 1 of the Collective Investment Schemes Control Act) are invited or permitted to contribute to and hold participatory interests in that portfolio through shares, units or any other form of participatory interest; or

[Subparagraph (ii) substituted by section 3(1)(a) of Act 8 of 2007, by section 6(1)(b) of Act 7 of 2010, by section 4(1)(e) of Act 31 of 2013 and by section 1(1)(b) of Act 42 of 2024]


 

(iii)    portfolio of a collective investment scheme in property that qualifies as a REIT as defined in the listing requirements of an exchange, as defined in section 1 of the Financial Markets Act and licensed under section 9 of that Act, where those listing requirements have been approved in consultation with the Director-General of the National Treasury and published by the appropriate authority, as contemplated in section 1 of the Financial Markets Act, in terms of section 11 of that Act or by the Financial Sector Conduct Authority; or

[Subparagraph (iii) added by section 2(1)(a) of Act 22 of 2012 and substituted by section 4(1)(f) of Act 31 of 2013, by section 1(1)(a) of Act 43 of 2014, by section 3(1)(b) of Act 25 of 2015, by section 1(1)(a) of Act 23 of 2018 and by section 4(1)(a) of Act 20 of 2021]

(f)      a close corporation,
 

but does not include a foreign partnership;

“Low-cost residential unit” definition of section 1 of ITA

Posted on by admin_kmos

“low-cost residential unit” means-

(a)     an apartment qualifying as a residential unit in a building located within the Republic, where-

(i)      the cost of the apartment does not exceed R350000; and

(ii)     the owner of the apartment does not charge a monthly rental in respect of that apartment that exceeds one per cent of the cost; or

(b)     a building qualifying as a residential unit located within the Republic, where-

(i)      the cost of the building does not exceed R300000; and

(ii)     the owner of the building does not charge a monthly rental in respect of that building that exceeds one per cent of the cost contemplated in subparagraph (i) plus a proportionate share of the cost of the land and the bulk infrastructure:

Provided that for the purposes of paragraphs (a)(ii) and (b)(ii), the cost is deemed to be increased by 10 per cent in each year succeeding the year in which the apartment or building is first brought into use;

“Living annuity” definition of section 1 of ITA

Posted on by admin_kmos

“living annuity” means a right of a member or former member of a pension fund, pension preservation fund, provident fund, provident preservation fund or retirement annuity fund, or his or her dependant or nominee, or any subsequent nominee, to an annuity purchased from a person or provided by any fund on or after the retirement date of that member or former member in respect of which-

(a)     the value of the annuity is determined solely by reference to the value of assets which are specified in the annuity agreement and are held for purposes of providing the annuity;

(b)     the amount of the annuity is determined in accordance with a method or formula prescribed by the Minister by notice in the Gazette;

(c)     the full remaining value of the assets contemplated in paragraph (a) may be paid as a lump sum when the value of those assets become at any timeless than an amount prescribed by the Minister by notice in the Gazette;

(d)     the amount of the annuity is not guaranteed by that person or fund;

(e)     on the death of the member or former member, the value of the assets referred to in paragraph (a) may be paid to a nominee of the member or former member as an annuity or lump sum or as an annuity and a lump sum, or, in the absence of a nominee, to the deceased’s estate as a lump sum;

[Paragraph (e) substituted by section 4(1)(i) of Act 60 of 2008 and by section 7(1)(y) of Act 24 of 2011 and amended by section 2(1)(e) of Act 23 of 2020 effective on 1 March, 2021]

(eA)  in anticipation of the termination of a trust, the value of the assets referred to in paragraph (a) must be paid to the trust as a lump sum pursuant to that termination; and

[Paragraph (eA) inserted by section 2(1)(f) of Act 23 of 2020 effective on 1 March, 2021]

(f)      further requirements regarding the annuity may be prescribed by the Minister by notice in the Gazette;

[Definition of “living annuity” inserted by section 2(1)(o) of Act 3 of 2008 and amended by section 4(1)(g) of Act 60 of 2008 and by section 1(1)(e) of Act 20 of 2022]