Page 46 - SAIT Compendium 2016 Volume1

s 1 INCOME TAX ACT 58 OF 1962 s 1
Act, 2015 (‘R50 000’ replaced by ‘R165 000’) (date of commencement: 1 March 2016; the substituted paragraph applies iro years of assessment commencing on or after that date) and by s. 3 (1) (t) of Taxation Laws Amendment Act, 2015 – date of commencement: 1 March 2016*; the substitution applies iro years of assessment commencing on or after that date.]
(a) portfolio of a collective investment scheme in participation bonds;
(b) portfolio of a collective investment scheme in property; (c) portfolio of a collective investment scheme in
securities; or
(d) portfolio of a declared collective investment scheme;
[De nition of ‘portfolio of a collective investment scheme’ inserted by s. 6 (1) (x) of Act 7 of 2010.]
‘portfolio of a collective investment scheme in participation bonds’ means any portfolio comprised in any collective investment scheme in participation bonds contemplated in Part VI of the Collective Investment Schemes Control Act managed or carried on by any company registered as a manager under and for the purposes of that Part;
[De nition of ‘portfolio of a collective investment scheme in participation bonds’ inserted by s. 6 (1) (x) of Act 7 of 2010 and substituted by s. 4 (1) (zK) of Act 31 of 2013 – date of commencement: 12 December 2013.]
‘portfolio of a collective investment scheme in property’ means any portfolio comprised in any collective investment scheme in property contemplated in Part V of the Collective Investment Schemes Control Act managed or carried on by any company registered as a manager under section 51 of that Act for the purposes of that Part;
[De nition of ‘portfolio of a collective investment scheme in property’ inserted by s. 6 (1) (x) of Act 7 of 2010 and substituted by s. 4 (1) (zK) of Act 31 of 2013 – date of commencement: 12 December 2013.]
‘portfolio of a collective investment scheme in securities’ means any portfolio comprised in any collective investment scheme in securities contemplated in Part IV of the Collective Investment Schemes Control Act managed or carried on by any company registered as a manager under section 42 of that Act for the purposes of that Part;
[De nition of ‘portfolio of a collective investment scheme in securities’ inserted by s. 7 (1) (v) of Act 17 of 2009 and substituted by s. 4 (1) (zK) of Act 31 of 2013 – date of commencement: 12 December 2013.]
‘portfolio of a declared collective investment scheme’ means any portfolio comprised in any declared collective investment scheme contemplated in Part VII of the Collective Investment Schemes Control Act managed or carried on by any company registered as a manager under section 64 of that Act for the purposes of that Part;
[De nition of ‘portfolio of a declared collective investment scheme’ inserted by s. 6 (1) (y) of Act 7 of 2010 and substituted by s. 4 (1) (zK) of Act 31 of 2013 – date of commencement: 12 December 2013.]
‘portfolio of a hedge fund collective investment scheme’ means any portfolio held by any hedge fund business that quali es as a declared collective investment scheme in terms of section 63 of the Collective Investment Schemes Control Act;
[De nition of ‘portfolio of a hedge fund collective investment scheme’ inserted by s. 4 (1) (zL) of Act 31 of 2013 – the inserted de nition comes into operation on 1 April 2015 (See GN 141 in GG 38503 of 25 February 2015.]
‘post-1966 gold mine’ . . .
[De nition of ‘post-1966 gold mine’ inserted by s. 5 (b) of
Act 55 of 1966 and deleted by s. 2 (1) (c) of Act 129 of 1991.] ‘post-1973 gold mine’ means an independent workable proposition in respect of which the State President or the Minister of Mines has, after 1 January, 1974, on the
Note:
Wording of para. (e) of proviso as substituted by para. (s) of s. 3 (1), which was to have come into operation on 1 March 2016 (‘R50 000’ replaced by ‘R165 000’), which is the same as the date on which para. (t) came into operation (e) not more than one-third of the total value of the
retirement interest may be commuted for a single payment, and that the remainder must be paid in the form of an annuity (including a living annuity) except where two-thirds of the total value does not exceed R165 000 or where the member is deceased:
Provided further that—
(i) the rules of a pension fund that is doing the business of
a preservation fund as prescribed by the Commissioner from time to time must be submitted to the Commissioner for approval in terms of the provisions of this de nition before 30 September 2010; and
(ii) the rules of a pension fund contemplated in paragraph (i) that are submitted before 30 September 2010 are deemed to have been approved under this de nition with effect from the date that the rules are submitted until the date that the Commissioner noti es the fund of its status under this de nition;
[De nition of ‘pension preservation fund’ inserted by s. 2 (1) (v) of Act 3 of 2008 and amended by s. 4 (1) (q) of Act 60 of 2008, by s. 6 (1) (u) of Act 7 of 2010 and by s. 7 (1) (zA) of Act 24 of 2011 – date of commencement: 1 March 2012.]
‘permanent establishment’ means a permanent establish- ment as de ned from time to time in Article 5 of the Model Tax Convention on Income and on Capital of the Organisation for Economic Co-operation and Development: Provided that in determining whether a qualifying investor in relation to a partnership, trust or foreign partnership has a permanent establishment in the Republic, any act of that partnership, trust or foreign partnership in respect of any nancial instrument must not be ascribed to that qualifying investor;
[De nition of ‘permanent establishment’ inserted by s. 5 (g) of Act 5 of 2001 and amended by s. 6 (1) (v) of Act 7 of 2010.]
‘person’ includes—
(a) an insolvent estate;
(b) the estate of a deceased person;
(c) any trust; and
(d) any portfolio of a collective investment scheme, [Para. (d) substituted by s. 2 (1) (t) of Act 22 of 2012 – date
of commencement: 1 April 2013; the substitution applies in respect of years of assessment commencing on or after that date.]
but does not include a foreign partnership;
[De nition of ‘person’ substituted by s. 2 (1) (b) of Act 129 of 1991, by s. 2 (f) of Act 141 of 1992, by s. 2 (1) (k) of Act 28 of 1997, by s. 7 (1) (u) of Act 17 of 2009 and by s. 6 (1) (w) of Act 7 of 2010.]
‘portfolio of a collective investment scheme’ means any—
discrepancy: para. (s) ‘applies iro years of assessment commencing on or after 1 March 2016’ and although para. (t) also ‘applies iro years of assessment commencing on or after 1 March 2016’, it applies ‘[s]ubject to subsection (8)’ – see footnote in annotation to para. (a) (i) of de nition of ‘pension fund’ in regard to wording of ‘subsection (8)’. It is expected that any uncertainty iro paras. (s) and (t) will be cleared up when the next amendment opportunity arises.
* See footnote in annotation to para. (a) (i) of de nition of ‘pension fund’.
38 SAIT CompendIum oF TAx LegISLATIon VoLume 1