Page 589 - Juta's Indirect Tax

IN 68 (2) TAX ADMINISTRATION ACT: INTERPRETATION NOTES IN 68 (2)
Juta’s IndIrect tax 2016 581
No. Schedule 1 provisions not
Provisions of tax Acts not repealed or amended
Wording of relevant Schedule 1 provisions
Final wording in tax Act after application of Schedule 1 to the Act
Explanatory notes
9. Para. 68(b)
Amendment of section 91(5)
Section 91 of the Income Tax Act,1962, is hereby amended—
(b) by the substitution for subsection (5) of the
No changes to current wording of section 91(5). Proposed note under provision:
• Section 91(4), (4A) and (5) remains applicable for purposes of the recovery
of tax and interest under the Act recovery procedures, as these are speci c to the ITA
commenced
8. Para. 66 to the extent related to
Repeal of sections 80K; 89(2); 89bis; 89quat and 89quin
Sections 80K ... 89(2), 89bis ... 89quat, 89quin ... of the Income Tax Act, 1962, are hereby repealed.
No changes to current wording of sections 80K; 89(2); 89bis; 89quat; 89quin.
Commenced in part:
interest
Proposed note under provision:
• The repeal of the following sections under para. 66 commenced: sections 80M, 80N, 80O, 80P, 80Q, 80R, 80S, 80T, 81, 82, 83, 83A, 84, 85, 86A, 87, 88, 88A, 88B, 88C, 88D, 88E, 88F, 88G, 88H, 89(1), 89ter, 89sex and 89sept.
Fourth Schedule to the Income Tax Act 58 of 1962 (Provisional tax)
10. Para. 93(a)
Amendment of para. 23A(1) of Fourth Schedule
Para. 23A of the Fourth Schedule to the Income Tax Act, 1962, is hereby amended—
(a) by the substitution for subparagraph (1) of the
No changes to current wording of para. 23A(1). Proposed note under provision:
[para. 23A(1) ... to be substituted by para. 93(a) of Schedule 1 to Act 28 of 2011
• Para. 23A(1) enables a provisional taxpayer for purpose of avoiding or reducing his liability for any interest payable under section 89quat, to elect to make an additional payment of provisional tax.
following subsection:
‘(5) So much of any interest payable in terms of [section eighty-nine] Chapter 12 of the Tax Administration Act as relates to such portion of any tax as is in terms of subsection (4) recoverable from the assets referred to in that subsection may also be recovered from such assets.’.
[Sub-s. 91(5) ... to be substituted by para. 68(b) of Schedule 1 to Act 28 of 2011 with effect from a date determined by the President by proclamation in the Gazette.]
• Subsection (5) provides that interest charged under section 89(2), may be recovered from the assets by which the income deemed to be included as income under the anti-avoidance provisions of section 7 of the ITA Act, was produced.
following subparagraph:
‘(1) Any provisional taxpayer may for the
with effect from a date determined by the President by proclamation in the Gazette.]
• As the amendment under para. 93(a) only relates to interest, there are no changes to the current wording.
purpose of avoiding or reducing his or her liability for any interest which may become payable by him or her in respect of any year of assessment under [section 89quat] Chapter 12 of the Tax Administration Act, elect to make an additional payment of provisional tax in respect of such year.’.
[S. XX... to be repealed by para. 66 of Schedule 1 to Act 28 of 2011 with effect from a date determined by the President by proclamation in the Gazette]
• These provisions are now regulated under the Act and do not relate to the accrual of interest on tax debts or refunds.
• As the amendment under para. 68(b) only relates to interest, there are no changes to the current wording.