Page 682 - SAIT Compendium 2016 Volume1

s 1 TRANSFER DUTY ACT 40 OF 1949 s 1 Rates and Monetary Amounts and Amendment of Revenue Laws Act 13 of 2015
Taxation Laws Amendment Act, 2015
NB: This Act was amended by s. 4 of the Eskom Amendment Act 126 of 1998, but the amending provision did not specify which section was to be amended. See s. 4 and the Schedule to Act 126 of 1998. It is submitted that the intention was to delete s 9 (1) (bA), which was later (again) deleted by s. 3 (1) (a) of Act 30 of 2010.
ACT
To consolidate and amend the laws relating to transfer duty.
1 De nitions
(1) In this Act unless the context otherwise indicates—
‘Commissioner’ means the Commissioner for the South African Revenue Service appointed in terms of section 6 of the South African Revenue Service Act, 1997 (Act 34 of 1997), or the Acting Commissioner designated in terms of section 7 of that Act;
[De nition of ‘Commissioner’ deleted by s. 1 (a) of Act 77 of 1964, inserted by s. 4 (1) (a) of Act 106 of 1980 and substituted by s. 34 (1) of Act 34 of 1997 and by s. 271 of Act 28 of 2011.]
‘company’ includes—
(a) any association, corporation or company (including
a close corporation) incorporated or deemed to be incorporated by or under any law in force or previously in force in the Republic or in any part thereof, or any body corporate formed or established or deemed to be formed or established by or under any such law; or
(b) any association, corporation or company incorporated under the law of any country other than the Republic or any body corporate formed or established under such law; or
(c) any association (not being an association referred to in paragraph (a)) formed in the Republic to serve a speci ed purpose, bene cial to the public or a section of the public;
[De nition of ‘company’ inserted by s. 1 (a) of Act 5 of 2001.]
‘date of acquisition’ means—
(a) in the case of the acquisition of property (other than
the acquisition of property contemplated in paragraph (b)) by way of a transaction, the date on which the transaction was entered into, irrespective of whether the transaction was conditional or not or was entered into on behalf of a company already registered or still to be registered and, in the case of the acquisition of property otherwise than by way of a transaction, the date upon which the person who so acquired the property became entitled thereto: Provided that where property has been acquired by the exercise of an option to purchase or a right of pre-emption, the date of acquisition shall be the date upon which the option or right of pre-emption was exercised;
[Para. (a) amended by s. 1 (a) of Act 86 of 1987 and by Proclamation R11 of 28 January 1994.]
(b) in the case of the acquisition of property in terms of item 8 of Schedule 1 to the Share Blocks Control Act, 1980 (Act 59 of 1980), and if section 9 of this Act does not apply to that acquisition, the date of the written request referred to in subitem (1) (b) of the said item 8;
(c) . . .
[Para. (c) added by s. 1 (b) of Act 86 of 1987 and deleted
by Proclamation R11 of 28 January 1994.]
[De nition of ‘date of acquisition’ substituted by s. 4 (1) (b) of Act 106 of 1980.]
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‘declared value’ in relation to property means the value of the property as declared in the declaration completed in terms of section fourteen by the person who has acquired the property;
‘deeds registry’ includes the Mineral and Petroleum Titles Registration Office established by section 2 of the Mining Titles Registration Act, 1967 (Act 16 of 1967);
[De nition of ‘deeds registry’ substituted by s. 1 (a) of Act 24 of 2011.]
‘fair value’—
(a) in relation to property as de ned in paragraphs (a)
and (c) of the de nition of ‘property’, means the fair market value of that property as at the date of acquisition thereof;
[Para. (a) substituted by s. 1 (b) of Act 24 of 2011.]
(b) in relation to a share or member’s interest in a company as contemplated in paragraph (d) or (e) of the de nition of ‘property’, means so much of the fair market value as at the date of acquisition of that share or member’s interest, of any property held by that
company which constitutes— (i) residential property;
(ii) a share or member’s interest in any company as contemplated in paragraph (d) or (e) of the de nition of ‘property’; or
(iii) a contingent right in property of a trust as contemplated in paragraph (f) of the de nition of ‘property’,
(without taking into account any lease agreement, any liability in respect of any loan or any right to or an interest in the use of immovable property conferred on the owner of a share in a share block company as contemplated in section 1 of the Share Blocks Control Act, 1980 (Act 59 of 1980), in relation to that residential property or any residential property of any company or trust contemplated in subparagraph (ii) or (iii)), as is attributable to that share or member’s interest;
[Para. (b) amended by s. 1 (1) of Act 45 of 2003.]
(c) in relation to any contingent right to any property,
which constitutes—
(i) residential property;
(ii) a share or member’s interest contemplated in paragraph (d) or (e) of the de nition of ‘property’; or
(iii) a contingent right in property of a trust as contemplated in paragraph (f) of the de nition of ‘property’,
held by a discretionary trust, means the fair market value of that property (without taking into account any lease agreement or any liability in respect of any loan in relation to that residential property or any residential property of any company or trust contemplated in subparagraph (ii) or (iii)), as at the date of acquisition of that contingent right; or
(d) in relation to a share in a company as contemplated in paragraph (g) of the de nition of ‘property’,
SAIT CompendIum oF TAx LegISLATIon VoLume 1