Page 337 - SAIT Compendium 2016 Volume1

Fourth Schedule INCOME TAX ACT 58 OF 1962 Fourth Schedule
(b) the taxpayer’s net remuneration for the year of assessment is less than the annual equivalent,
the Commissioner shall on application made by the taxpayer amend—
(A) the determination of the amount of any net remuneration derived by the taxpayer; and
(B) the amount of Standard Income Tax on Employees payable by the taxpayer in respect of such net remuneration.
[Sub-para. (4) amended by s. 47 (h) of Act 101 of 1990 and by s. 53 (1) of Act 30 of 1998 and substituted by s. 22 of Act 16 of 2004 and by s. 44 (1) (c) of Act 3 of 2008.]
(4A) . . .
[Sub-para. (4A) inserted by s. 3 of Act 168 of 1993, amended by s. 35 (b) of Act 36 of 1996 and deleted by s. 271 of Act 28 of 2011 – date of commencement: 1 October 2012.]
(5) (a) Where at the end of any tax period the employees’ tax required to be deducted or withheld from any net remuneration paid or payable by an employer to an employee during the tax period consists solely of an amount of Standard Income Tax on Employees and the total amount of employees’ tax actually deducted or withheld by the employer from such net remuneration exceeds such Standard Income Tax on Employees required to be deducted or withheld from such net remuneration, the employer shall repay to the employee the amount of such excess.
[Item (a) substituted by s. 22 (k) of Act 70 of 1989.]
(b) Any amount of employees’ tax which has been repaid by an employer to an employee under the provisions of
item (a) may be deducted by the employer from any subsequent payment of employees’ tax due by him, or shall be refunded to the employer by the Commissioner.
(6) . . .
[Sub-para. (6) substituted by s. 40 (c) of Act 21 of 1995 and deleted by s. 9 of Act 39 of 2013 – date of commencement: 16 January 2014.]
(7) Any amount of employees’ tax which—
(a) has been determined by an employer as representing the amount of Standard Income Tax on Employees required
to be determined by him under the provisions of this paragraph in relation to any net remuneration paid or payable
by him to an employee;
(b) has been deducted or withheld by the employer from such net remuneration; and
(c) is not more than 2 per cent greater or less than the amount of Standard Income Tax on Employees required to be
determined in relation to such net remuneration,
[Item (c) amended by s. 46 (e) of Act 129 of 1991.]
shall be deemed to be an amount of Standard Income Tax on Employees correctly determined under those provisions.
(8) Every employer shall on any employees’ tax certi cate furnished by him in terms of paragraph 13 (1), indicate separately the amount of Standard Income Tax on Employees determined by him and deducted or withheld from remuneration payable to the employee concerned.
(9) (a) For the purposes of determining the amount of Standard Income Tax on Employees for which any employee has become liable at the end of any tax period, an employer shall, subject to any variation referred to in paragraph 10, have regard to the latest tax deduction tables, and the manner in which such tables shall be applied, which have been prescribed by the Commissioner under paragraph 9 and which are in force on the date upon which such tax period ends.
(b) Any determination made by an employer in accordance with the provisions of item (a) shall be deemed to have been correctly made in accordance with the rates of tax xed for the relevant year of assessment under section 5 (2) and in accordance with the provisions of this Act as applicable to the tax period, notwithstanding that the rates of tax so xed may differ from the rates of tax upon which such deduction tables are based or that any provision of this Act taken into account by the Commissioner in prescribing the manner in which such tables shall be applied, is amended with effect from a date falling before the end of such tax period.
[Sub-para. (9) deleted by s. 22 (l) of Act 70 of 1989 and added by s. 47 (i) of Act 101 of 1990.] [Para. 11B inserted by s. 41 of Act 90 of 1988.]
EMPLOYEES’ TAX PAYABLE IN RESPECT OF DIRECTORS OF PRIVATE COMPANIES (para. 11C)
11C. (1) Every director of a private company shall, for purposes of this paragraph, be deemed to have received from that private company during any month, an amount of remuneration determined in accordance with the formula—
Y 5 _T_ N
in which formula—
(a) ‘Y’ represents the amount to be determined;
(b) ‘T’ represents the balance of remuneration determined in terms of paragraph 2 (4) (excluding any amount which
was deemed to be remuneration in terms of this paragraph), paid or payable to that director by that company in respect of the last year of assessment of that director which ended before that month, less any amount—
(i) contemplated in paragraph (d), (e) or (f) of the de nition of ‘gross income’ which is included therein; or (ii) which is included therein in terms of paragraph 11A; and
(c) ‘N’ represents the number of completed months which that director was employed by that company during that last year of assessment;
Provided that— (i) . . .
[Para. (i) of the proviso deleted by s. 11 of Tax Administration Laws Amendment Act, 2015 – date of commencement: date of promulgation of Tax Administration Laws Amendment Act, 2015.]
SAIT CompendIum oF TAx LegISLATIon VoLume 1 329
INCOME TAX ACT – SCHEDULES