Page 330 - SAIT Compendium 2016 Volume1

Fourth Schedule INCOME TAX ACT 58 OF 1962 Fourth Schedule
that person with an af davit or solemn declaration stating that the relevant paragraph does not apply and that person relied on that af davit or declaration in good faith.
[Sub-para. (1A) inserted by s. 40 of Act 20 of 2006 and substituted by s. 55 (1) (a) of Act 8 of 2007 and by s. 67 (1) (a) of Act 60 of 2008.]
(1B) Notwithstanding the provisions of subparagraph (1), a person shall deduct or withhold employees’ tax in respect of any amount payable in respect of variable remuneration, as de ned in section 7B (1), on the date on which the amount is paid to the employee by the employer as contemplated in section 7B (2).
[Sub-para. (1B) inserted by s. 19 (1) (a) of Act 21 of 2012 – date of commencement: 1 March 2013; this subparagraph applies in respect of amounts received or accrued on or after that date.]
(2) Any employer may, at the written request of any employee, deduct or withhold from any amount of remuneration an amount by way of employees’ tax greater than that required to be deducted or withheld in terms of subparagraph (1), and shall remit such amount to the Commissioner, and the provisions of this Schedule relating to employees’ tax shall mutatis mutandis apply in respect of such amount.
(2A) An employer may deduct the amount of the employment tax incentive for which the employer is eligible in terms of the Employment Tax Incentive Act, 2013, from the amount of the employees’ tax to be paid to the Commissioner by that employer in terms of subparagraph (1), unless section 8 of that Act applies.
[Sub-para. (2A) inserted by s. 13 of Act 26 of 2013 – date of commencement: 1 January 2014.]
(3) . . .
[Sub-para. (3) deleted by s. 20 (1) of Act 19 of 2001.]
(4) The amount required to be deducted or withheld from any remuneration under this Schedule by way of employees’ tax must be calculated on the balance of the remuneration remaining after deducting therefrom—
(a) any contribution by the employee concerned to any pension fund or provident fund which the employer is entitled
or required to deduct from that remuneration, but limited to the deduction to which the employee is entitled under
section 11 (k) having regard to the remuneration and the period in respect of which it is payable;
[Item (a) substituted by s. 18 (1) (b) of Act 18 of 2009 and by s. 8 (1) (a) of Act 39 of 2013 (‘or provident fund’ inserted after ‘pension fund’) – date of commencement: 1 March 2016 (‘1 March 2015’ replaced by ‘1 March 2016’ by s. 68 of
Act 44 of 2014); the substituted item applies iro amounts contributed on or after that date.]
(b) at the option of the employer, any contribution to a retirement annuity fund by the employee in respect of which proof of payment has been furnished to the employer, but limited to the deduction to which the employee is entitled
under section 11 (k) having regard to the remuneration and the period in respect of which it is payable;
[Item (b) substituted by s. 8 (1) (a) of Act 39 of 2013 (‘11 (n)’ replaced by ‘11 (k)’) – date of commencement: 1 March
2016 (‘1 March 2015’ replaced by ‘1 March 2016’ by s. 68 of Act 44 of 2014); the substituted item applies iro amounts contributed on or after that date.]
(bA) any contribution made by the employer to any retirement annuity fund for the bene t of the employee, but limited to the deduction to which the employee is entitled under section 11 (k) having regard to the remuneration and the period in respect of which it is payable;
[Item (bA) inserted by s. 18 (1) (c) of Act 18 of 2009 and substituted by s. 8 (1) (a) of Act 39 of 2013 (‘11 (n)’ replaced by ‘11 (k)’) – date of commencement: 1 March 2016 (‘1 March 2015’ replaced by ‘1 March 2016’ by s. 68 of Act 44 of 2014); the substituted item applies iro amounts contributed on or after that date.]
(c) . . .
[Item (c) deleted by s. 8 (1) (b) of Act 39 of 2013 – date of commencement: 1 March 2015; the deletion applies iro
premiums paid on or after that date.]
(cA)* . . .
[Item (cA) inserted by s. 94 (1) (a) of Act 24 of 2011 (date of commencement: 1 March 2012; this item applies iro
premiums incurred on or after that date) and deleted by s. 8 (1) (b) of Act 39 of 2013 – date of commencement: 1 March 2015; the deletion applies iro premiums paid on or after that date.]
(d) . . .
[Item (d) substituted by s. 20 (1) of Act 4 of 2008 and deleted by s. 19 (1) (b) of Act 21 of 2012 – date of commencement:
1 March 2014; the deletion applies in respect of years of assessment commencing on or after that date.]
(e) . . .
[Item (e) added by s. 50 (1) (b) of Act 31 of 2005, substituted by s. 20 (1) of Act 4 of 2008 and deleted s. 94 (1) (b) of Act
24 of 2011 – date of commencement: 1 March 2012; the deletion applies in respect of years of assessment commencing on or after that date.]
(f) so much of any donation made by the employer on behalf of the employee—
(i) as does not exceed 5 per cent of that remuneration after deducting therefrom the amounts contemplated in items
(a) to (cA); and
[Subitem (i) substituted by s. 94 (1) (c) of Act 24 of 2011 and by s. 19 (1) (c) of Act 21 of 2012; date of commencement:
1 March 2014; the substitution applies in respect of years of assessment commencing on or after that date.] (ii) for which the employer will be issued a receipt as contemplated in section 18A (2) (a).
[Item (f) added by s. 67 (1) (c) of Act 60 of 2008.]
* Another para. (cA) was inserted by para. 78 of Schedule 1 to the Tax Administration Act 28 of 2011, which insertion was deemed to have come into operation with effect from 1 January 2011 (see s. 272 (4) of Act 28 of 2011). Para. 78 was subsequently deleted by s. 92 of the Tax Administration Laws Amendment Act 21 of 2012, which deletion was deemed to have come into operation with effect from 1 October 2012 (see s. 94 (2) of Act 21 of 2012). Although this repeal was not made with retrospective effect, the intention was almost certainly to revert to the para. (cA) as inserted by s. 94 (1) (a) of the Taxation Laws Amendment Act 24 of 2011, which insertion was deemed to have come into operation with effect from 1 March 2012 (see s. 94 (2) of Act 24 of 2011).
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