Page 595 - SAIT Compendium 2016 Volume1

s 73 TAX ADMINISTRATION ACT 28 OF 2011 s 79
(3) . . .
[Sub-s. (3) deleted by s. 43 (e) of Act 39 of 2013 – date of commencement deemed to have been 1 October 2012.]
74 Publication of names of offenders
(1) The Commissioner may publish for general information the particulars speci ed in subsection (2), relating to a tax offence committed by a person, if—
(a) the person was convicted of the offence; and
(b) all appeal or review proceedings relating to the offence have been completed or were not instituted within the period allowed.
(2) The publication referred to in subsection (1) may specify—
(a) the name and area of residence of the offender;
(b) any particulars of the offence that the Commissioner
thinks t; and
(c) the particulars of the ne or sentence imposed.
CHAPTER 7 ADVANCE RULINGS (ss. 75–90)
75 De nitions
In this Chapter, unless the context indicates otherwise, the following terms, if in single quotation marks, have the following meanings:
‘advance ruling’ means a ‘binding general ruling’, a ‘binding private ruling’ or a ‘binding class ruling’;
‘applicant’ means a person who submits an ‘application’ for a ‘binding private ruling’ or a ‘binding class ruling’;
‘application’ means an application for a ‘binding private ruling’ or a ‘binding class ruling’;
‘binding class ruling’ means a written statement issued by SARS regarding the application of a tax Act to a speci c ‘class’ of persons in respect of a ‘proposed transaction’;
‘binding effect’ means the requirement that SARS interpret or apply the applicable tax Act in accordance with an ‘advance ruling’ under section 82;
‘binding general ruling’ means a written statement issued by a senior SARS of cial under section 89 regarding the interpretation of a tax Act or the application of a tax Act to the stated facts and circumstances;
‘binding private ruling’ means a written statement issued by SARS regarding the application of a tax Act to one or more parties to a ‘proposed transaction’, in respect of the ‘transaction’;
‘class’ means—
(a) shareholders, members, bene ciaries or the like in
respect of a company, association, pension fund,
trust, or the like; or
(b) a group of persons, that may be unrelated and—
(i) are similarly affected by the application of a tax Act to a ‘proposed transaction’; and
(ii) agree to be represented by an ‘applicant’;
‘class member’ and ‘class members’ means a member or members of the ‘class’ to which a ‘binding class ruling’
applies;
‘non-binding private opinion’ means informal
guidance issued by SARS in respect of the tax treatment of a particular set of facts and circumstances or ‘transaction’, but which does not have a ‘binding effect’ within the meaning of section 88;
‘proposed transaction’ means a ‘transaction’ that an ‘applicant’ proposes to undertake, but has not agreed to undertake, other than by way of an agreement that is subject to a suspensive condition or is otherwise not binding; and
‘transaction’ means any transaction, deal, business, arrangement, operation or scheme and includes a series of transactions.
76 Purpose of advance rulings
The purpose of the ‘advance ruling’ system is to promote clarity, consistency and certainty regarding the interpretation and application of a tax Act by creating a framework for the issuance of ‘advance rulings’.
77 Scope of advance rulings
SARS may make an ‘advance ruling’ on any provision of a tax Act.
78 Private rulings and class rulings
(1) SARS may issue a ‘binding private ruling’ upon ‘application’ by a person in accordance with section 79.
(2) SARS may issue a ‘binding class ruling’ upon ‘application’ by a person in accordance with section 79.
(3) SARS may make a ‘binding private ruling’ or ‘binding class ruling’ subject to the conditions and assumptions as may be prescribed in the ruling.
(4) SARS must issue the ruling to the ‘applicant’ at the address shown in the ‘application’ unless the ‘applicant’ provides other instructions, in writing, before the ruling is issued.
(5) A ‘binding private ruling’ or ‘binding class ruling’ may be issued in the prescribed form and manner, must be signed by a senior SARS of cial and must contain the following:
(a) a statement identifying it as a ‘binding private ruling’
or as a ‘binding class ruling’ made under this section;
(b) the name, tax reference number (if applicable), and
postal address of the ‘applicant’;
(c) in the case of a ‘binding class ruling’, a list or a
description of the affected ‘class members’;
(d) the relevant statutory provisions or legal issues;
(e) a description of the ‘proposed transaction’;
(f) any assumptions made or conditions imposed by
SARS in connection with the validity of the ruling;
(g) the speci c ruling made; and
(h) the period for which the ruling is valid.
(6) In the case of a ‘binding class ruling’, the ‘applicant’ alone is responsible for communicating with the affected ‘class members’ regarding the ‘application’ for the ruling, the issuance, withdrawal or modi cation of the ruling, or any other information or matter pertaining to the ruling.
79 Applications for advance rulings
(1) An ‘application’ must be made in the prescribed form and manner.
(2) An ‘application’ for a ‘binding private ruling’ may be made by one person who is a party to a ‘proposed transaction’, or by two or more parties to a ‘proposed transaction’ as co-applicants, and if there is more than one ‘applicant’, each ‘applicant’ must join in designating one ‘applicant’ as the lead ‘applicant’ to represent the others.
(3) An ‘application’ for a ‘binding class ruling’ may be made by a person on behalf of a ‘class’.
(4) An ‘application’ must contain the following minimum information:
(a) the ‘applicant’s’ name, applicable identi cation or
taxpayer reference number, postal address, email
address, and telephone number;
(b) the name, postal address, email address and telephone
number of the ‘applicant’s’ representative, if any;
(c) a complete description of the ‘proposed transaction’ in respect of which the ruling is sought, including its
nancial implications;
SAIT CompendIum oF TAx LegISLATIon VoLume 1
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TAX ADMINISTRATION ACT