Page 331 - Juta's Indirect Tax

IN 31 (3)
VaLue-added tax act: InterPretatIOn nOtes IN 31 (3)
the supply is to the South African Reserve Bank, the South African Mint Company (Proprietary) Limited or any bank registered under the Banks Act, 1990 (Act 94 of 1990), of gold in the form of bars, blank coins, ingots, buttons, wire, plate or granules or in solution, which has not undergone any manufacturing process other than the re ning thereof or the manufacture or production of such bars, blank coins, ingots, buttons, wire, plate, granules or solution; or
the supply is of such goods used or consumed for agricultural, pastoral or other farming purposes as are set forth in Part A of Schedule 2, provided such supply is made in compliance with such conditions as may be prescribed in the said Part; or
the goods consist of fuel levy goods referred to in Fuel Item Levy numbers 195.10.03, 195.10.17, 195.20.01 and 195.20.03 in Part 5A of Schedule No. 1 to the Customs and Excise Act; or
(hA) the goods consist of petroleum oil and oils obtained from bituminous minerals, known as crude, referred to in Heading No. 27.09 in Chapter 27 of Part 1 of Schedule No. 1 to the Customs and Excise Act when supplied for the purpose of being re ned for the production of fuel levy goods as de ned in section 1 of the Customs and Excise Act; or
(hB) ......
(a) the goods are supplied as contemplated in section 8 (9);
(b) the goods consist of such foodstuffs as are set forth in Part B of Schedule 2, but subject to such conditions as may
be prescribed in the said Part; or
(c) the goods are gold coins supplied as such and which the Reserve Bank has issued in the Republic in accordance
with the provisions of section 14 of the South African Reserve Bank Act, 1989 (Act 90 of 1989), or which remain
in circulation as contemplated in the proviso to subsection (1) of that section; or
(d) the goods consist of illuminating kerosene (marked) intended for use as fuel for illuminating or heating, referred
to in Fuel Item Levy number 195.10.13 in Part 5A of Schedule No. 1 to the Customs and Excise Act and are not
mixed or blended with another substance; or
(e) a vendor supplies movable goods, (excluding any ‘motor car’ as de ned in section 1), in terms of a sale or
instalment credit agreement to a customs controlled area enterprise or an IDZ operator and those goods are physically delivered to that customs controlled area enterprise or IDZ operator in a customs controlled area either—
(i) by the supplier; or
(ii) by a VAT registered cartage contractor, whose main activity is that of transporting goods and who is engaged
by the supplier to deliver the goods and that supplier is liable for the full cost relating to that delivery;
(mA) a vendor supplies xed property situated in a customs controlled area to a customs controlled area enterprise or an IDZ operator under any agreement of sale or letting or any other agreement under which the use or
permission to use such xed property is granted;
(f) the goods consist of—
(i) any old order right or OP26 right as de ned in Schedule II of the Mineral and Petroleum Resources Development Act, 2002 (Act 28 of 2002), converted into a new right pursuant to item 7 (3) of that Schedule if that supply is made pursuant to that conversion; or
(ii) ....;
(g) ....
(h) (i) the supply of an enterprise or part of an enterprise as a going concern, by a vendor to that vendor’s branch or division, which branch or division is separately registered in terms of section 50 (2): Provided that that enterprise or part, as the case may be, shall not be disposed of as a going concern unless—
(aa) that enterprise or part is capable of separate operation; and
(bb) will be an income-earning activity on the date of transfer thereof; and
(cc) a tax invoice issued in accordance with section 20 in relation to that supply is inclusive of tax at the rate
of zero per cent; or
(ii) the supply of an enterprise, branch or division, as contemplated in section 50 (2), as a going concern to a
separately registered enterprise of that vendor: Provided that that enterprise or part, as the case may be, shall not be disposed of as a going concern unless—
(aa) that enterprise or part is capable of separate operation; and
(bb) will be an income-earning activity on the date of transfer thereof; and
(cc) a tax invoice issued in accordance with section 20 in relation to that supply is inclusive of tax at the rate
of zero per cent;
the goods—
are supplied by a vendor to a person who is not a resident of the Republic and not a vendor and who has contracted with that vendor to deliver goods to a recipient, who is a vendor in the Republic; and
form part of a supply by the person referred to in paragraph (i) to the recipient; and
are used by the recipient wholly for the purposes of consumption, use or supply in the course of making taxable supplies; or
(i) compensation is paid by a public authority in terms of section 19 of the Animal Diseases Act, 1984 (Act 35 of
1984) for the supply of a ‘controlled animal or thing’ as de ned in that Act to that public authority:
(j) the goods (being xed property) are supplied to the Minister of Land Affairs who acquired those goods in terms of the Provision of Land and Assistance Act, 1993 (Act 126 of 1993), or section 42E of the Restitution of Land
Rights Act, 1994 (Act 22 of 1994); or
(k) the goods (being xed property) are supplied to a person to the extent that the consideration for those goods is an
advance or subsidy granted in terms of the Provision of Land and Assistance Act, 1993 (Act 126 of 1993); or
Juta’s IndIrect tax 2016 323