Page 147 - Juta's Indirect Tax

s 99 TAX ADMINISTRATION ACT 28 OF 2011 s 104
(4) The Commissioner may, by prior notice of at least 60 days to the taxpayer, extend a period under subsection (1), before the expiry thereof, by three years in the case of an assessment by SARS or two years in the case of self- assessment, where an audit or investigation under Chapter 5 relates to—
(i) the application of the doctrine of substance over form;
(ii) the application of Part IIA of Chapter III of the Income Tax Act, section 73 of the Value-Added Tax Act or any other general anti-avoidance provision under a tax Act;
(iii)the taxation of hybrid entities or hybrid instruments; or
(iv) section 31 of the Income Tax Act.
[Sub-s. (4) added by s. 51 (c) of Tax Administration Laws Amendment Act, 2015 – date of commencement: date of promulgation of Tax Administration Laws Amendment Act, 2015.]
100 Finality of assessment or decision
(1) An assessment or a decision referred to in section 104 (2) is nal if, in relation to the assessment or decision—
(a) it is an assessment described—
(i) in section 95 (1) and no return described in section 91 (5) (b) has been received by SARS; or
(ii) in section 95 (3);
(b) no objection has been made, or an objection has been
withdrawn;
(c) after decision of an objection, no notice of appeal has
been led;
(d) the dispute has been settled under Part F of Chapter 9;
(e) an appeal has been determined by the tax board and
there is no referral to the tax court under section 115;
(f) an appeal has been determined by the tax court and
there is no right of further appeal; or
(g) an appeal has been determined by a higher court and
there is no right of further appeal.
(2) Subsection (1) does not prevent SARS from making
an additional assessment, but in respect of an amount of tax that has been dealt with in a disputed assessment referred to in—
(a) subsection (1) (d), (e) and (f), SARS may only make
an additional assessment under the circumstances
referred to in section 99 (2) (a) and (b); and
(b) subsection (1) (g), SARS may not make an additional
102 Burden of proof
(1) A taxpayer bears the burden of proving—
(a) that an amount, transaction, event or item is exempt
or otherwise not taxable;
(b) that an amount or item is deductible or may be set-off;
(c) the rate of tax applicable to a transaction, event, item
or class of taxpayer;
(d) that an amount quali es as a reduction of tax payable;
(e) that a valuation is correct; or
assessment.
DISPUTE RESOLUTION (ss. 101–150)
Part A General (ss. 101–103)
101 De nitions
In this Chapter, unless the context indicates otherwise, the following terms, if in single quotation marks, have the following meanings:
‘appellant’, except in Part E of this Chapter, means a person who has noted an appeal against an assessment or ‘decision’ under section 107;
‘decision’ means a decision referred to in section 104 (2);
‘registrar’ means the registrar of the tax court; and ‘rules’ mean the rules made under section 103.
section 95 is reasonable or the facts on which SARS based the imposition of an understatement penalty under Chapter 16, is upon SARS.
103 Rules for dispute resolution
(1) The Minister may, after consultation with the Minister of Justice and Constitutional Development, by public notice* make ‘rules’ governing the procedures to lodge an objection and appeal against an assessment or ‘decision’, and the conduct and hearing of an appeal before a tax board or tax court.
(2) The ‘rules’ may provide for alternative dispute resolution procedures under which SARS and the person aggrieved by an assessment or ‘decision’ may resolve a dispute.
(3) The Commissioner may prescribe the form of a document required to be completed and delivered under the ‘rules’.
[Sub-s. (3) added by s. 48 of Act 39 of 2013 – date of commencement deemed to have been 1 October 2012.]
Part B
Objection and appeal (ss. 104–107)
104 Objection against assessment or decision
(1) A taxpayer who is aggrieved by an assessment made in respect of the taxpayer may object to the assessment.
(2) The following decisions may be objected to and appealed against in the same manner as an assessment: (a) a decision under subsection (4) not to extend the
period for lodging an objection;
(b) a decision under section 107 (2) not to extend the
period for lodging an appeal; and
(c) any other decision that may be objected to or appealed
against under a tax Act.
(3) A taxpayer entitled to object to an assessment or
‘decision’ must lodge an objection in the manner, under the terms, and within the period prescribed in the ‘rules’.
(4) A senior SARS of cial may extend the period prescribed in the ‘rules’ within which objections must be made if satis ed that reasonable grounds exist for the delay in lodging the objection.
(5) The period for objection must not be so extended— (a) for a period exceeding 21 business days, unless a senior SARS of cial is satis ed that exceptional circumstances exist which gave rise to the delay in
lodging the objection;
(b) if more than three years have lapsed from the date of
assessment or the ‘decision’; or
(c) if the grounds for objection are based wholly or mainly
on a change in a practice generally prevailing which applied on the date of assessment or the ‘decision’.
CHAPTER 9
(f)
whether a ‘decision’ that is subject to objection and
appeal under a tax Act, is incorrect.
(2) The burden of proving whether an estimate under
* See GN 550 in GG 37819 of 11 July 2014 and GN 295 in GG 38666 of 31 March 2015.
Juta’s IndIrect tax 2016 139
TAX ADMINISTRATION ACT