Page 219 - SAIT Compendium 2016 Volume1

s 27
INCOME TAX ACT 58 OF 1962
s 27
co-operative agricultural society or company or farmers’ special co-operative company as de ned in the Co-operative Societies Act, 1939, and the erection of such building was commenced on or after 25 March 1959; or
(ii) any improvements (other than repairs) to any building referred to in subparagraph (i) which was during the year of assessment used as contemplated in that subparagraph; or
(iii) any improvements (other than repairs) to any other building which was during the year of assessment used as a storage building by such co-operative, if such improvements were commenced on or after 1 April 1971:
Provided that no allowance shall be granted under this paragraph in respect of the cost of any building or improvements if an allowance in respect of such cost has been granted in respect of the year of assessment under the provisions of section 13 (1): Provided further that no allowance shall be made under this paragraph in respect of such portion of the cost of any building or of any improvements as has been taken into account in the calculation of any storage building initial allowance or any allowance to such co-operative under section 11 (g), whether in the current or any previous year of assessment: Provided further that in the case of any such building the erection of which commences on or after 1 January 1989 and any such improvements which commence on or after that date the allowance under this paragraph shall be increased to 5 per cent of the cost (after the deduction of any amount as provided in subsection (4)) to the taxpayer of such building or improvements.
[Para. (b) amended by s. 15 (1) (a) of Act 96 of 1985 and by s. 22 of Act 90 of 1988.]
(c) . . .
[Para. (c) amended by s. 11 (a) of Act 101 of 1978, by
s. 19 (1) (a) of Act 104 of 1980 and by s. 21 (1) (a) of Act 96 of 1981 and deleted by s. 28 (b) of Act 129 of 1991.]
(d) . . .
[Para. (d) amended by s. 21 (1) (b) of Act 96 of 1981,
substituted by s. 15 (1) (b) of Act 96 of 1985, amended by s. 18 (a) of Act 85 of 1987 and deleted by s. 28 (b) of Act 129 of 1991.]
(e) . . .
[Para. (e) amended by s. 11 (b) of Act 101 of 1978, by s. 19
(1) (b) of Act 104 of 1980 and by s. 21 (1) (c) of Act 96 of 1981 and deleted by s. 28 (b) of Act 129 of 1991.]
(h)
in the case of the vereniging de ned in section 1 of the Wine and Spirit Control Act, 1970 (Act 47 of 1970), an allowance equal to so much of any amount which the said vereniging has, within the speci ed period in relation to the year of assessment, transferred from its pro ts for such year to a price stabilization fund for distribution to its members or winegrowers within a period not exceeding ve years reckoned from the end of such year of assessment, as does not exceed an amount equal to that portion of the pro ts derived by such vereniging for that year of assessment in the exercise of its functions relating to the control of, and the stabilization of prices in, the wine industry.
[Para. (h) substituted by s. 28 (c) of Act 129 of 1991.]
. . .
(f) (g)
. . .
[Para. (f) amended by s. 18 (b) of Act 85 of 1987 and deleted by s. 28 (b) of Act 129 of 1991.]
an allowance in respect of the year of assessment in respect of losses suffered by such agricultural co- operative in consequence of physical damage to or deterioration of pastoral, agricultural and other farm products held by such agricultural co-operative on behalf of any control board established under the provisions of the Marketing Act, 1968 (Act 59 of 1968): Provided that such allowance shall be included in the income of such agricultural co-operative in the following year of assessment; and
[Para. (i) added by s. 15 (1) (c) of Act 96 of 1985, amended by s. 18 (c) of Act 85 of 1987 and deleted by s. 28 (d) of Act 129 of 1991.]
[Sub-s. (2) substituted by s. 17 (1) of Act 113 of 1977.]
(2A) . . .
[Sub-s. (2A) inserted by s. 21 (1) (d) of Act 96 of 1981 and deleted by s. 28 (e) of Act 129 of 1991.]
(3) The aggregate of the allowances under subsection (2) (b) and section 13 (1) in respect of any building or improvements shall not exceed the cost (after the deduction of any amount referred to in subsection (4)) of such building or improvements, as the case may be, less the aggregate of any storage building initial allowance and any allowances made to the agricultural co-operative concerned in respect of such building or improvements, as the case may be, under section 11 (g).
[Sub-s. (3) substituted by s. 17 (1) of Act 113 of 1977 and by s. 15 (1) (d) of Act 96 of 1985.]
(4) If in any year of assessment there falls to be included in an agricultural co-operative’s income in terms of paragraph (a) of section 8 (4) an amount, which has been recovered or recouped, in respect of any allowance made under subsection (2) (b) in respect of any building or improvements, such portion of the amount so recovered or recouped as is set off against the cost of a further building as hereinafter provided shall, notwithstanding the provisions of the said paragraph, at the option of that co- operative and provided it erects within twelve months or such further period as the Commissioner may allow from the date on which the event giving rise to the recovery or recoupment occurred, any other building to which the provisions of subsection (2) (b) apply, not be included in its income for that year of assessment, but shall be set off against so much of the cost to it of that further building erected by it as remains after the deduction of any portion of that cost in respect of which an allowance has been
[Para. (g) substituted by s. 51 of Taxation Laws Amendment Act, 2015 – date of commencement: date of promulgation of Taxation Laws Amendment Act, 2015.]
(i)
SAIT CompendIum oF TAx LegISLATIon VoLume 1 211
Prelex
Wording of para. (g) in force until date of promulgation of Taxation Laws Amendment Act, 2015
(g) such allowance in respect of the year of assessment
as the Commissioner may make in respect of losses suffered by such agricultural co-operative in consequence of physical damage to or deterioration of pastoral, agricultural and other farm products held by such agricultural co-operative on behalf of any control board established under the provisions of the Marketing Act, 1968 (Act 59 of 1968): Provided that such allowance shall be included in the income of such agricultural co-operative in the following year of assessment; and
INCOME TAX ACT – SECTIONS