Page 166 - SAIT Compendium 2016 Volume1

s 16A INCOME TAX ACT 58 OF 1962 s 18A
16A . . .
[S. 16A inserted by s. 10 of Act 70 of 1989, amended by s. 10 of Act 36 of 1996 and repealed by s. 32 (1) of Act 30 of 1998.]
17 . . .
[S. 17 substituted by s. 14 of Act 90 of 1962 and by s. 14 (1) of Act 113 of 1977 and repealed by s. 25 of Act 59 of 2000.]
17A Expenditure incurred by a lessor of land let for farming purposes, in respect of soil erosion works
(1) Subject to the provisions of subsection (2), there shall be allowed to be deducted from the income derived by any taxpayer from letting any land on which bona de pastoral, agricultural or other farming operations were carried on during the year of assessment, the expenditure incurred by him during such year in respect of the construction of soil erosion works, provided a certi cate by the Executive Of cer designated under section 4 of the Conservation of Agricultural Resources Act, 1983 (Act 43 of 1983), or his assignee is produced to the effect that such works have been approved under the provisions of the said Act.
[Sub-s. (1) amended by s. 13 of Act 103 of 1976 and substituted by s. 17 of Act 141 of 1992.]
(2) Where expenditure incurred by the taxpayer during any year of assessment and ranking for deduction from income under subsection (1) exceeds the taxable income (as calculated before allowing any deduction under that subsection) derived by the taxpayer from letting land on which bona de pastoral, agricultural or other farming operations were carried on during such year, the amount allowed to be deducted under subsection (1) in respect of the said year shall be limited to an amount equal to such taxable income (calculated as aforesaid), and the excess shall be carried forward and be deemed for the purposes of this section to be expenditure incurred by the taxpayer during the next succeeding year of assessment in respect of the construction of soil erosion works.
[S. 17A inserted by s. 11 of Act 76 of 1968.]
18 . . .
[S. 18 substituted by s. 15 of Act 95 of 1967, by s. 12 of Act 76 of 1968, by s. 17 (1) of Act 89 of 1969 and by s. 14 (1) of Act 52 of 1970, repealed by s. 15 of Act 88 of 1971, inserted by s. 12 of Act 104 of 1980, amended by s. 15 (a) and (b) of Act 96 of 1981, by s. 15 of Act 121 of 1984, by s. 11 of Act 96 of 1985, by s. 14 of Act 90 of 1988, by s. 11 of Act 70 of 1989, by s. 16 of Act 101 of 1990, by s. 19 (a), (b), (c) and (d) of Act 129 of 1991, by s. 18 (a) and (b) of Act 141 of 1992, by s. 16 (a), (b), (c), (f) and (g) and of Act 21 of 1995, by s. 16 of Act 21 of 1995, by s. 23 of Act 53 of 1999, by s. 26 of Act 59 of 2000, by s. 19 of Act 30 of 2002, by s. 25 (1) (a), (b), (c), (d) and (e) of Act 31 of 2005, by s. 2 (2) (b) of Act 8 of 2007, by s. 17 (1) (a), (b) and (c) of Act 8 of 2007, by s. 30 (a), (b) and (c) of Act 35 of 2007, by s. 1 (2) (c) of Act 3 of 2008, by s. 33 (1) (a), (b), (c), (d) and (e) of Act 60 of 2008, by s. 31 (1) (a) and (b) of Act 17 of
2009, by s. 36 (1) of Act 7 of 2010, by s. 43 (1) (a), (b), (c), (d), (e), (f) and (g) of Act 24 of 2011 and by s. 35 (1) of Act 22 of 2012 and repealed by s. 51 (1) of Act 31 of 2013 – date of commencement: 1 March 2014; the repeal applies in respect of years of assessment commencing on or after that date.]
18A Deduction of donations to certain organisations
[Heading substituted by s. 31 of Act 35 of 2007.]
(1) Notwithstanding the provisions of section 23, there shall be allowed to be deducted from the taxable income of any taxpayer so much of the sum of any bona de donations by that taxpayer in cash or of property made in kind, which was actually paid or transferred during the year of assessment to—
(a) any—
(i) public bene t organisation contemplated in
paragraph (a) (i) of the de nition of ‘public bene t organisation’ in section 30 (1) approved by the Commissioner under section 30; or
[Sub-para. (i) substituted by s. 16 (a) of Act 20 of 2006.] (ii) institution, board or body contemplated in
section 10 (1) (cA) (i), which—
(aa) carries on in the Republic any public bene t activity contemplated in Part II of the Ninth Schedule, or any other activity* determined from time to time by the Minister by notice in the Gazette for the purposes of this section; and
(bb) complies with the requirements contemplated in subsection (1C), if applicable, and any additional requirements prescribed by the Minister in terms of subsection (1A);
[Item (bb) substituted by s. 34 (1) (c) of Act 45 of 2003.] [Para. (a) amended by s. 20 (b) of Act 30 of 2002.]
(b) any public bene t organisation contemplated in
paragraph (a) (i) of the de nition of ‘public bene t organisation’ in section 30 (1) approved by the Commissioner under section 30, which provides funds or assets to any public bene t organisation, institution, board or body contemplated in paragraph (a);
[Para. (b) amended by s. 20 (c) of Act 30 of 2002, by s. 34 (1) (d) and (e) of Act 45 of 2003 and by s. 26 (1) (a) and (b) of Act 31 of 2005 and substituted by s. 16 (b) of Act 20 of 2006.]
(bA)any agency contemplated in the de nition of ‘specialized agencies’ in section 1 of the Convention on the Privileges and Immunities of the Specialized Agencies, 1947, set out in Schedule 4 to the Diplomatic Immunities and Privileges Act, 2001 (Act 37 of 2001), which—
(i) carries on in the Republic any public bene t activity contemplated in Part II of the Ninth Schedule, or any other activity determined from time to time by the Minister by notice in the Gazette for the purposes of this section;
* Publication of approved public bene t activities read as follows:
‘Conservation, Environment and Animal Welfare
(a) Engaging in the conservation, rehabilitation or protection of the natural environment, including ora, fauna or the
biosphere.
(b) The care of animals, including the rehabilitation or prevention of the ill-treatment of animals.
(c) The promotion of, and education and training programmes relating to, environmental awareness, greening, clean-up
or sustainable development projects.’—GN 403 in GG 28771 of 26 April 2006.
158 SAIT CompendIum oF TAx LegISLATIon VoLume 1