Page 295 - SAIT Compendium 2016 Volume1

s 64K INCOME TAX ACT 58 OF 1962 s 64M
(7) and (8) . . .
[Sub-ss. (7) and (8) deleted by s. 271 of Act 28 of 2011 – date of commencement: 1 October 2012.]
[S. 64K inserted by s. 56 (1) of Act 60 of 2008 and substituted by s. 53 (1) of Act 17 of 2009 – date of commencement: 1 April 2012.]
64L Refund of tax in respect of dividends declared and paid by companies
(1) Notwithstanding the provisions of Chapter 13 of the Tax Administration Act, if—
[Words in sub-s. (1) preceding para. (a) substituted (by inserting ‘Notwithstanding ... Act,’) by s. 271 of Act 28 of 2011 – date of commencement: 1 October 2012.]
(a) an amount is withheld by a company from the payment of a dividend in terms of section 64G (1);
(b) a declaration contemplated in subsection (2) (a) or (3) of that section in respect of that dividend is not submitted to the company by the date contemplated in the relevant subsection; and
(c) both the declaration and the written undertaking contemplated in section 64G (2) (a) or (3) are submitted to the company within three years after the payment of the dividend in respect of which they are made,
[Para. (c) substituted by s. 15 (1) (a) of Act 21 of 2012 – date of commencement deemed to have been 1 April 2012.]
so much of that amount as would not have been withheld had that declaration been submitted by the date contemplated in the relevant subsection is refundable to the person to whom the dividend was paid.
(1A) If—
(a) an amount is withheld by a company from the
payment of a dividend in terms of section 64G (1);
and
(b) a rebate in respect of foreign taxes paid on that
dividend should have been deducted from that amount
in terms of section 64N,
so much of that amount as would not have been withheld had that rebate been deducted from the amount, is refundable to the person to whom the dividend was paid: Provided such rebate is claimed within three years after the payment of the relevant dividend.
[Sub-s. (1A) inserted by s. 15 (1) (b) of Act 21 of 2012 – date of commencement deemed to have been 1 April 2012.]
(2) Any amount that is refundable in terms of subsection (1) or (1A) must be refunded by the company that withheld that amount to the person to whom the dividend was paid—
(a) from any amount of dividends tax withheld by
that company within a period of one year after the submission of the declaration contemplated in subsection (1) (c) or the claim of a rebate contemplated in subsection (1A); or
(b) to the extent that the amount that is refundable exceeds the amount of dividends tax withheld as contemplated in paragraph (a), from an amount recovered by the company from the Commissioner in terms of subsection (3).
[Sub-s. (2) substituted by s. 15 (1) (c) of Act 21 of 2012 – date of commencement deemed to have been 1 April 2012.]
(3) Subject to subsection (4), if any amount is refundable to any person by a company in terms of subsection (1) or (1A) and that amount exceeds the amount of dividends tax withheld as contemplated in subsection (2) (a), the company contemplated in subsection (2) may recover the excess from the Commissioner.
[Sub-s. (3) substituted by s. 15 (1) (c) of Act 21 of 2012 – date of commencement deemed to have been 1 April 2012.]
(4) No amount may be recovered in terms of subsection (3) if the company submits the claim for recovery to the Commissioner after the expiry of a period of four years reckoned from the date of the payment contemplated in subsection (1) (a) or (1A) (a).
[Sub-s. (4) substituted by s. 15 (1) (c) of Act 21 of 2012 – date
of commencement deemed to have been 1 April 2012.]
[S. 64L inserted by s. 56 (1) of Act 60 of 2008 and substituted by s. 53 (1) of Act 17 of 2009 – date of commencement: 1 April 2012.]
64LA Refund of tax in respect of dividends in specie
Notwithstanding the provisions of Chapter 13 of the Tax Administration Act, if—
(a) dividends tax is paid by a company in respect of a
dividend that consists of a distribution of an asset in specie as a result of the company being unable to obtain the declaration and written undertaking contemplated in section 64FA (1) (a) or (2) by the date contemplated in that section; and
(b) both the declaration and the written undertaking are submitted to the company within three years after the payment of the tax,
so much of the amount of dividends tax paid as would not have been payable had that declaration and written undertaking been submitted by the date contemplated in section 64FA (1) (a) or (2) is refundable to the company by SARS if claimed within three years of the date of payment of the tax.
[S. 64LA inserted by s. 6 of Act 44 of 2014 – date of commencement: 20 January 2015.]
64M Refund of tax in respect of dividends paid by regulated intermediaries
(1) Notwithstanding the provisions of Chapter 13 of the Tax Administration Act, if—
[Words in sub-s. (1) preceding para. (a) substituted by s. 271 of Act 28 of 2011 – date of commencement: 1 October 2012.]
(a) an amount is withheld by a regulated intermediary from the payment of a dividend in terms of section 64H (1);
(b) a declaration contemplated in subsection (2) (a) or (3) of that section in respect of that dividend is not submitted to the regulated intermediary by the date contemplated in the relevant subsection; and
(c) both the declaration and the written undertaking contemplated in section 64H (2) (a) or (3) are submitted to the regulated intermediary within three years after the payment of the dividend in respect of which they are made,
[Para. (c) substituted by s. 16 [(1)] (a) of Act 21 of 2012 – date of commencement deemed to have been 1 April 2012.]
so much of that amount as would not have been withheld had that declaration been submitted by the date contemplated in the relevant subsection is refundable to the person to whom the dividend was paid.
(1A) If—
(a) an amount is withheld by a regulated intermediary
from the payment of a dividend in terms of section
64H (1); and
(b) a rebate in respect of foreign taxes paid on that
dividend should have been deducted from that amount
in terms of section 64N,
so much of that amount as would not have been withheld had that rebate been deducted from the amount, is refundable to the person to whom the dividend was paid: Provided such rebate is claimed within three years after the payment of the relevant dividend.
SAIT CompendIum oF TAx LegISLATIon VoLume 1 287
INCOME TAX ACT – SECTIONS