Page 1153 - SAIT Compendium 2016 Volume2

EXPLANATORY MEMORANDUM ON THE TAXATION LAWS AMENDMENT BILL, 2015
CLAUSE 85
Income Tax: Amendment to paragraph 4 of the Second Schedule
Sub-clause (a): The amendment proposes to standardise reference to the Pension Funds Act in the Income Tax Act. Sub-clause (b): Amendment to subparagraph (3) – The amendment clari es the Commissioner’s discretion when a
member of a provident fund retires form such fund before the age of 55 years on grounds other than illness.
CLAUSE 86
Income Tax: Amendment to paragraph 5 of the Second Schedule
The amendment proposes to standardise reference to the Pension Funds Act in the Income Tax Act.
CLAUSE 87
Income Tax: Amendment to paragraph 6 of the Second Schedule
The amendment proposes to standardise reference to the Pension Funds Act in the Income Tax Act.
CLAUSE 88
Income Tax: Amendment to paragraph 1 of the Sixth Schedule
Amendments in paragraph (1) delete all reference to sections 10(1)(y), 10(1)(zA), 10(1)(zG), and 10(1)(zH) and refer
to section 12P as those section refer to Government Grants which are now referred to in section 12P and listed in the Eleventh Schedule.
CLAUSE 89
Income Tax: Amendment to paragraph 3 of the Sixth Schedule
Sub-clause (a): Amendment deletes word ‘or’ in the de nition of employee at the end of the sub-paragraph. Sub-clause (b): Insertion of new subparagraph (vi) and (vii) in paragraph (f). The proposed amendments includes
Associations and Small Business Funding Entities under companies listed in paragraph (f).
CLAUSE 90
Income Tax: Amendment to paragraph 10 of the Sixth Schedule Amendments remove reference to Commissioner’s discretion.
CLAUSE 91
Income Tax: Amendment to paragraph 11 of the Sixth Schedule Amendments remove reference to Commissioner’s discretion.
CLAUSE 92
Income Tax: Amendment to paragraph 13 of the Sixth Schedule Amendments remove reference to Commissioner’s discretion.
CLAUSE 93
Income Tax: Amendment to paragraph 1 of the Seventh Schedule
Sub-clause (a): Deletion of the de nition of the term ‘loan’ in paragraph (1). Amendments delete obsolete de nitions. Sub-clause (b): Amendments to the de nition of ‘of cial rate of interest’ - Amendments change the word ‘loan’ to
‘debt’ as a result of the deletion of the reference to the term ‘loan’ in this paragraph.
CLAUSE 94
Income Tax: Amendment to paragraph 2 of the Seventh Schedule Amendments remove reference to Commissioner’s discretion.
CLAUSE 95
Income Tax: Amendment to paragraph 6 of the Seventh Schedule Amendments remove reference to Commissioner’s discretion.
CLAUSE 96
Income Tax: Amendment to paragraph 7 of the Seventh Schedule Amendments remove reference to Commissioner’s discretion.
CLAUSE 97
Income Tax: Amendment to paragraph 9 of the Seventh Schedule
Sub-clause (a): Deletion of the de nition of ‘remuneration’ in subsection 1. Amendments delete super uous
de nitions.
Sub-clause (b): Deletion of subparagraph (3A): Amendments delete obsolete provisions.
CLAUSE 98
Income Tax: Amendment to paragraph 11 of the Seventh Schedule
Sub-clause (a): Amendments change the word ‘loan’ to ‘debt’ as a result of the deletion of the reference to the term
‘loan’ in this paragraph.
Sub-clause (b): Amendments change the words ‘grant of a loan’ to ‘debt owed by’ as a result of the deletion of the
reference to the term ‘loan’ in this paragraph.
Sub-clause (c): Amendments change the words ‘on the loan’ to ‘in respect of the debt’ as a result of the deletion of the
reference to the term ‘loan’ in this paragraph.
Sub-clause (d): Amendments change the word ‘loan’ to ‘debt’ as a result of the deletion of the reference to the term
‘loan’ in this paragraph.
SAIT CompendIum oF TAx LegISLATIon VoLume 2 1145