Page 35 - Juta's Indirect Tax

s 9
VALUE-ADDED TAX ACT 89 OF 1991 s 10
(f)
payment in respect of such supply is received by the supplier;
where any supply of a service is deemed to be made as contemplated in section 8 (13A), the supply shall be deemed to take place whenever any amount is paid out as a prize or winnings by the supplier of the services contemplated in section 8 (13).
[Para. (f) added by s. 21 of Act 46 of 1996.]
(4) Subject to the provisions of subsections (2) (a) and
(9) Where any supply of goods is deemed to be made as contemplated in section 8 (20), that supply shall be deemed to take place at the time the tax payable on importation of the goods is paid by the agent.
[Sub-s. (9) added by s. 26 of Act 27 of 1997.]
(10) Where any supply of a game viewing vehicle or a hearse is deemed to be made as contemplated in section 8 (14) (b) or 8 (14A) the time of supply shall be deemed to be the time that the game viewing vehicle or hearse is supplied as contemplated in those sections.
[Sub-s. (10) added by s. 96 of Act 32 of 2004.]
(11) Where any supply of goods is deemed to be made as contemplated in section 8 (24), that supply shall be deemed to take place on the last day of the applicable period contemplated in section 8 (24).
[Sub-s. (11) added by s. 103 of Act 31 of 2005.]
10 Value of supply of goods or services
(1) For the purposes of this Act the following provisions of this section shall apply for determining the value of any supply of goods or services.
(2) The value to be placed on any supply of goods or services shall, save as is otherwise provided in this section, be the amount of the consideration for such supply, as determined in accordance with the provisions of subsection (3), less so much of such amount as represents tax: Provided that—
(i) there shall be excluded from such consideration the value of any postage stamp as de ned in section 1 of the Post Of ce Act, 1958 (Act 44 of 1958), when used in the payment of consideration for any service supplied by the postal company as de ned in section 1 of the Post Of ce Act, 1958;
[Para. (i) substituted by s. 84 of Act 53 of 1999.]
(ii) wheretheportionoftheamountofthesaidconsideration which represents tax is not accounted for separately by the vendor, the said portion shall be deemed to be an amount equal to the tax fraction of that consideration.
[Para. (ii) substituted by s. 82 (b) of Act 8 of 2007.]
[Sub-s. (2) amended by s. 82 (a) of Act 8 of 2007.]
(3) For the purposes of this Act the amount of any
consideration referred to in this section shall be—
(a) to the extent that such consideration is a consideration
in money, the amount of the money; and
(b) to the extent that such consideration is not a consideration in money, the open market value of that
consideration.
[Sub-s. (3) amended by s. 82 (c) of Act 8 of 2007.] (4) Where—
(a) a supply is made by a person for no consideration or for a consideration in money which is less than the open market value of the supply or the consideration cannot be determined at the time of supply; and
[Para. (a) substituted by s. 21 (1) (a) of Act 37 of 1996 and by s. 131 (1) of Taxation Laws Amendment Act, 2015 – date of commencement: 1 April 2016.]
(b) the supplier and recipient are connected persons in relation to each other; and
(c) if a consideration for the supply equal to the open market value of the supply had been paid by the recipient, he would not have been entitled under
(6)—
(a) where goods are supplied under an agreement,
other than an instalment credit agreement or rental agreement, and the goods or part of them are appropriated under that agreement by the recipient in circumstances where the whole of the consideration is not determined at the time they are appropriated, that supply shall be deemed to take place when and to the extent that any payment in terms of the agreement is due or is received or an invoice relating to the supply is issued by the supplier or the recipient, whichever is the earliest; and
(b) where services are supplied under an agreement and the consideration for such services supplied is not determined at the time that such services are rendered or performed, that supply shall be deemed to take place when and to the extent that any payment in terms of the agreement is due or is received or an invoice relating to the supply is issued by the supplier or the recipient, whichever is the earliest.
[Sub-s. (4) substituted by s. 167 (1) (a) of Act 31 of 2013 – date of commencement: 1 April 2014; the substituted subsection applies in respect of services supplied on or after that date.]
(5) Where any goods or any right capable of assignment, cession or surrender is deemed to be supplied by a vendor in the course of his enterprise as contemplated in section 8 (2) the time of supply shall be deemed to be the time contemplated in that section.
(6) Where any supply of goods or services is deemed to be made as contemplated in section 18 (1) the time of supply shall be deemed to be the time that the goods or services are applied as contemplated in the said subsection.
(7) The supply of goods or services which is deemed to be made by any vendor as contemplated in section 18 (3) shall be deemed to take place at the end of the month in respect of which the cash equivalent of the bene t or advantage concerned, as determined under the Seventh Schedule to the Income Tax Act, or a portion of such cash equivalent, is in terms of the Fourth Schedule to that Act required to be included in the remuneration of the employee or of ce holder to whom the bene t or advantage is granted or, where such cash equivalent is not required to be included in the remuneration of the employee or of ce holder in terms of the said Fourth Schedule, on the last day of the year of assessment in terms of the said Act, as applicable to that employee or of ce holder, during which the bene t or advantage was granted to him.
(8) Where a supply of goods is deemed by section 8 (10) to be made by a debtor, the time of that supply shall be deemed to be the day on which the goods are repossessed or surrendered or, where the debtor may under any law be reinstated in the debtor’s rights and obligations under such agreement, the day after the last day of any period during which the debtor may under such law be so reinstated.
[Sub-s. (8) substituted by s. 167 (1) (b) of Act 31 of 2013 – date of commencement: 1 April 2014; the substituted subsection applies in respect of goods surrendered on or after that date.]
Juta’s IndIrect tax 2016
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Prelex
Wording of para. (a) in force until 1 April 2016
(a) a supply is made by a person for no consideration or
for a consideration in money which is less than the open market value of the supply; and
VALUE-ADDED TAX ACT