“affected party” means a person that is a party to an affected transaction;

“applicant” means a person who submits an advance pricing agreement application to SARS;

“unilateral advance pricing agreement” means an agreement between an applicant and the Commissioner regarding the application of section 31 to an affected transaction in which the applicant is an affected party.

[Section 76A inserted by section 10 of Act 18 of 2023]

“transfer pricing method” means a transfer pricing method referred to in the OECD Transfer Pricing Guidelines for Multinational Enterprises and Tax Administrations, as amended from time to time;

“transfer price” means the price at which persons trade a service, tangible property or intangible property with each other across international borders;

“DTA advance pricing agreement” means an agreement between an applicant and the competent authority of the Republic, in consultation with the competent authority of another country, which has an agreement for the avoidance of double taxation with the Republic, regarding the application of section 31 to an affected transaction in which the applicant is an affected party;

“country of residence” is the country in which a person is considered to be a resident, after the application of an agreement for the avoidance of double taxation;

“competent authority” is an official in a country who is authorised by the government of the country to administer an agreement for the avoidance of double taxation that the Republic is a party to, and includes a person duly delegated by that official to perform the role;

“arm’s length transfer price” means a transfer price in an affected transaction that would have been the transfer price if the affected parties had been independent persons dealing at arm’s length with each other;

“arm’s length allocation” means an allocation of the profit in an affected transaction that would have been the allocation of the profit if the affected parties had been independent persons dealing at arm’s length with each other;