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Income Tax Act, 1962 (Act No. 58 of 1962)

Chapter II : The Taxes

Part I : Normal Tax

6. Normal tax rebates

 

(1) In determining the normal tax payable by any natural person, other than normal tax in respect of any retirement fund lump sum benefit, retirement fund lump sum withdrawal benefit or severance benefit, there must be deducted an amount equal to the sum of the amounts allowed to the natural person by way of rebates under subsection (2).

[Section 6(1) substituted by section 7 of the Taxation Laws Amendment Act, 2016 (Act No. 15 of 2016)]

 

(2) In the case of a natural person there shall, subject to the provisions of subsection (4), be allowed by way of—
(a) a primary rebate, an amount of R14 958;

[Section 6(2)(a) substituted by section 3(1) of the Rates and Monetary Amounts and Amendment of Revenue Laws Act, 2020 (Act No. 22 of 2020), GG 44079, dated 20 January 2021  - deemed to have come into operation on 1 March 2020 and applies in respect of years of assessment commencing on or after that date (section 3(2)]

(b) a secondary rebate, if the taxpayer was or, had he or she lived, would have been 65 years of age or older on the last day of the year of assessment, an amount of R8 199; and

[Section 6(2)(b) substituted by section 3(1) of the Rates and Monetary Amounts and Amendment of Revenue Laws Act, 2020 (Act No. 22 of 2020), GG 44079, dated 20 January 2021  - deemed to have come into operation on 1 March 2020 and applies in respect of years of assessment commencing on or after that date (section 3(2)]

(c) a tertiary rebate if the taxpayer was or, had he or she lived, would have been 75 years of age or older on the last day of the year of assessment, an amount of R2 736.

[Section 6(2)(c) substituted by section 3(1) of the Rates and Monetary Amounts and Amendment of Revenue Laws Act, 2020 (Act No. 22 of 2020), GG 44079, dated 20 January 2021  - deemed to have come into operation on 1 March 2020 and applies in respect of years of assessment commencing on or after that date (section 3(2)]

 

(3) [Section 6(3) deleted by section 5(b) of the Income Tax, 1995 (Act No. 21 of 1995)]

 

(4) Where the period assessed is less than 12 months, the amount to be allowed by way of a rebate under subsection (2) shall be such amount as bears to the full amount of such rebate, the same ratio as the period assessed bears to 12 month.

[Section 6(4) substituted by section 7 of Act No. 31 of 2005]

 

(5) [Section 6(5) deleted by section 4(1)(b) of the Taxation Laws Amendment Act, 2015 (Act No. 25 of 2015)]

 

(6)

(a) The Minister may announce in the national annual budget contemplated in section 27(1) of the Public Finance Management Act, that, with effect from a date or dates mentioned in that announcement, the amounts allowed to a natural person by way of rebates under subsection (2) will be altered to the extent mentioned in the announcement.
(b) If the Minister makes an announcement of an alteration contemplated in paragraph (a), that alteration comes into effect on the date or dates determined by the Minister in that announcement and continues to apply for a period of 12 months from that date or those dates, subject to Parliament passing legislation giving effect to that announcement within that period of 12 months.

[Section 6(6) inserted by section 4 of the Taxation Laws Amendment Act, 2018 (Act No. 23 of 2018), GG 42172, dated 17 January 2019]