Page 102 - SAIT Compendium 2016 Volume1

s 10 INCOME TAX ACT 58 OF 1962 s 10
amounts received or accrued during years of assessment commencing on or after that date.]
[Para. (cO) inserted by s. 10 (1) (j) of Act 20 of 2006 and amended by s. 2 (2) (b) of Act 8 of 2007.]
(cP)the receipts and accruals of a company or trust contemplated in section 37A;
[Para. (cP) inserted by s. 10 (1) (j) of Act 20 of 2006.] (cQ)the receipts and accruals of any small business funding entity approved by the Commissioner in terms of section 30C, to the extent that the receipts
and accruals are derived—
(i) otherwise than from any business undertaking or
trading activity; or
(ii)from any business undertaking or trading
activity—
(aa) if the undertaking or activity—
(A) is integral and directly related to the sole or principal object of that small business funding entity;
(B) is carried out or conducted on a basis substantially the whole of which is directed towards the recovery of cost; and
(C) does not result in unfair competition in relation to taxable entities;
(bb) if the undertaking or activity is of an occasional nature and undertaken substantially with assistance on a voluntary basis without compensation;
(cc) if the undertaking or activity is approved by the Minister by notice in the Gazette, having regard to—
(A) the scope and benevolent nature of the
undertaking or activity;
(B) the direct connection and inter-
relationship of the undertaking or activity with the sole or principal object of the small business funding entity;
(C) the pro tability of the undertaking or activity; and
(D) the level of economic distortion that may be caused by the tax exempt status of the small business funding entity carrying out the undertaking or activity; or
(dd) other than an undertaking or activity in respect of which item (aa), (bb) or (cc) applies and do not exceed the greater of—
(A) 5 per cent of the total receipts and accruals of that small business fund- ing entity during the relevant year of assessment; or
(B) R200 000;
[Para. (cQ) inserted by s. 14 (1) (a) of Act 43 of 2014 – date of commencement: 1 March 2015; the inserted paragraph applies iro amounts received or accrued on or after that date.]
(d) the receipts and accruals of any—
(i)pension fund, pension preservation fund,
provident fund, provident preservation fund or retirement annuity fund, or a bene ciary fund de ned in section 1 of the Pension Funds Act;
[Sub-para. (i) substituted by s. 9 (a) of Act 3 of 2008 and substituted by s. 23 (1) (d) of Act 31 of 2013 – date of commencement: 12 December 2013.]
(ii) bene t fund; or
(iii) mutual loan association, delity or indemnity fund, trade union, chamber of commerce or industries (or an association of such chambers) or local publicity association approved by the Commissioner in terms of section 30B; or
[Sub-para. (iii) substituted by s. 14 (1) (a) of Act 32 of 2004 and by s. 18 (1) (d) of Act 7 of 2010.]
(iv) company, society or other association of persons established to—
(aa) . . .
[Item (aa) deleted by s. 10 (1) (k) of Act 20 of 2006.]
(bb) promote the common interests of persons (being members of such company, society or association of persons) carrying on any particular kind of business, profession or occupation,
approved by the Commissioner in terms of
section 30B;
[Para. (d) substituted by s. 10 (1) (d) of Act 85 of 1974, by s. 10 (1) (l) of Act 141 of 1992 and by s. 21 (1) (d) of Act 30 of 2000 (as amended by s. 78 (1) of Act 19 of 2001) and amended by s. 18 (1) (e) of Act 7 of 2010.]
(dA) . . .
[Para. (dA) inserted by s. 6 (1) (a) of Act 91 of 1982,
amended by s. 7 (b) of Act 65 of 1986, substituted by s. 10 (1) (a) of Act 101 of 1990, amended by s. 10 (1) (m) of Act 141 of 1992 and deleted by s. 13 (1) (c) of Act 59 of 2000.]
(e) (i)
any levy received by or accrued to—
(aa) any body corporate established in terms of the Sectional Titles Act, 1986 (Act 95 of
1986), from its members;
(bb) a share block company as de ned in the
Share Blocks Control Act from the holders
of shares in that share block company; or
[Item (bb) substituted by s. 28 (1) (d) of 24 of 2011, by
s. 23 (1) (e) of Act 31 of 2013 (date of commencement: 12 December 2013) and by s. 14 (1) (b) of Act 43 of 2014 – date of commencement: 20 January 2015.]
(cc) any other association of persons (other than a company as de ned in the Companies Act, any co-operative, close corporation and trust, but including a non-pro t company as de ned in that Act) from its members, where the Commissioner is satis ed that, subject to such conditions as he or she may deem necessary, such association of persons—
[Words in item (cc) preceding subitem (A) substituted by s. 28 (1)(e)of24of2011andbys.23(1)(f)ofAct31of2013–date of commencement deemed to have been 1 May 2011.]
(A) has been formed solely for purposes of managing the collective interests common to all its members, which includes expenditure applicable to the common immovable property of such members and the collection of levies for which such members are liable; and
(B) is not permitted to distribute any of its funds to any person other than a similar association of persons:
[Item (cc) amended by s. 18 (1) (f) of Act 7 of 2010.] Provided that such body, company or association is or was not knowingly a party to, or does not knowingly permit or has not knowingly permitted, itself to be used as part of any transaction, operation or scheme of which the sole or main purpose is or was the reduction, postponement or avoidance of liability for any tax, duty or levy which, but for such transaction,
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SAIT CompendIum oF TAx LegISLATIon VoLume 1