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Income Tax Act, 1962 (Act 58 of 1962)

Chapter III: General Provisions

Part IV: Payment and Recovery of Tax

89ter. Accounts and recovery proceedings in respect of certain taxes (Repealed)

 

 

[Repealed by the Tax Administration Act, 2011 (Act No. 28 of 2011)].

 

1) Where any taxes as defined in subsection (3) are owing by the taxpayer in respect of more than one year of assessment or more than one of such taxes are owing by the taxpayer, whether for one or more years of assessment, the Commissioner shall not be required to maintain a separate account in respect of each year of assessment or each of such taxes, but may maintain one tax account for the taxpayer recording details of the assessed amounts of the said taxes and the interest payable in respect of such taxes in terms of section 89(2) or 89quat for which the taxpayer has from time to time become liable, the amounts of the payments made in respect of such taxes or interest (excluding payment made by way of provisional tax in terms of the Fourth Schedule), any credit in respect of any amount of employees' tax or provisional tax which the taxpayer is under that Schedule entitled to have set off against his liability for such taxes and such other details as may be required to establish the total amount owing by the taxpayer from time to time in respect of such taxes or interest, and any such payment or credit shall be deemed to have been made or to have accrued in respect of the total amount reflected in such tax account as owing by the taxpayer at the time such payment is made or such credit is passed.

 

1A) Where, in addition to any amount of tax or additional tax which is payable by any person in terms of this Act, an amount of penalty is payable by him in terms of the provisions of the Fourth or Seventh Schedule, or interest is payable by him in terms of any provision of this Act, any payment made by that person on or after 1 April 1994 in respect of such tax, additional tax, penalty or interest which is less than the total amount due by him in respect of such tax, additional tax, penalty and interest shall for the purposes of this act be deemed to be made—
a) in respect of such penalty;
b) to the extent to which such payment exceeds the amount of such penalty, in respect of such interest; and
c) to the extent to which such payment exceeds the sum of the amounts of such penalty and interest, in respect of such tax or additional tax.

 

1B)
a) Any practice generally applied by the Commissioner prior to 1 April 1994 in the allocation of payments shall be deemed to have had the force of law.
b) Any agreement concluded prior to 1 April 1994 between the Commissioner and a taxpayer which provides for the allocation of any payment contemplated in subsection (1A) to be made on or after that date otherwise than in accordance with the provisions of subsection (1A) shall, in so far as it provides for such allocation, cease to have effect.

 

2) The total amount owing by the taxpayer after the deduction of the relevant payments or other credits in respect of any taxes as defined in subsection (3) and of interest in respect of such taxes payable by the taxpayer in terms of section 89(2) or 89quat shall for the purposes of any proceedings for recovery (including proceedings under section 91) be deemed to be a debt due to the State, and in any such proceedings the Commissioner shall not be required to furnish particulars of the amount claimed. Provided that the Commissioner shall at the request of the taxpayer furnish the taxpayer with copies of any notices of assessments relating to the taxpayer as the taxpayer may require.

 

3) For the purposes of subsections (1) and (2) "taxes" means the taxes comprehended in the definition of "tax" in section 1, excluding donations tax and secondary tax on companies.