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Income Tax Act, 1962 (Act 58 of 1962)

Schedules

Ninth Schedule

(Section 30)

Public Benefit Activities

 

Part 1

 

1.        Welfare and Humanitarian

 

(a) The care or counseling of, or the provision of education programmes relating to, abandoned, abused, neglected, orphaned or homeless children.
(b) The care or counseling of poor and needy persons where more than 90 per cent of those persons to whom the care or counseling are provided are over the age of 60.
(c) The care or counseling of, or the provision of education programmes relating to, physically or mentally abused and traumatized persons.
(d) The provision of disaster relief.
(e) The rescue or care of persons in distress.
(f) The provision of poverty relief.
(g) Rehabilitative care or counseling or education of prisoners, former prisoners and convicted offenders and persons awaiting trial.
(h) The rehabilitation, care or counseling of persons addicted to a dependence-forming substance or the provision of preventative and education programmes regarding addiction to dependence-forming substances.
(i) Conflict resolution, the promotion of reconciliation, mutual respect and tolerance between the various peoples of South Africa.
(j) The promotion or advocacy of human rights and democracy.
(k) The protection of the safety of the general public.
(l) The promotion or protection of family stability.
(m) The provision of legal services for poor and needy persons.
(n) The provision of facilities for the protection and care of children under school-going age of poor and needy parents.
(o) The promotion or protection of the rights and interests of, and the care of, asylum seekers and refugees.
(p) Community development for poor and needy persons and anti-poverty initiatives, including-
(i) the promotion of community-based projects relating to self-help, empowerment, capacity building, skills development or antipoverty;
(ii) the provision of training, support or assistance to community based projects contemplated in item (i); or
(iii) the provision of training, support or assistance to emerging micro enterprises to improve capacity to start and manage businesses, which may include the granting of loans on such conditions as may be prescribed by the Minister by way of regulation.

(q)        The promotion of access to media and a free press.

 

2.        Health Care

 

(a) The provision of health care services to poor and needy persons.
(b) The care or counseling of terminally ill persons or persons with a severe physical or mental disability, and the counseling of their families in this regard.
(c) The prevention of HIV infection, the provision of preventative and education programmes relating to HIV/AIDS.
(d) The care, counseling or treatment of persons afflicted with HIV/AIDS, including the care or counseling of their families and dependants in this regard.
(e) The provision of blood transfusion, organ donor or similar services.
(f) The provision of primary health care education, sex education or family planning.

 

3.        Land and Housing

 

(a) The development, construction, upgrading, conversion or procurement of housing units for the benefit of persons whose monthly household income is equal to or less than R15 000 or any greater amount determined by the Minister of Finance by notice in the Gazette after consultation with the Minister of Housing; and
(b) The development, servicing, upgrading or procurement of stands, or the provision of building materials, for purposes of the activities contemplated in subparagraph (a).
(c) The provision of residential care for retired persons, where-
(i) more than 90 per cent of the persons to whom the residential care is provided are over the age of 60 and nursing services are provided by the organisation carrying on such activity; and
(ii) residential care for retired persons who are poor and needy is actively provided by that organisation without full recovery of cost

(d)        Building and equipping of-

(i)        clinics or crèches; or

(ii)        community centres, sport facilities or other facilities of a similar nature

for the benefit of the poor and needy.

(e) The promotion, facilitation and support of access to land and use of land, housing and infrastructural development for promoting official land reform programmes.
(f) Granting of loans for purposes of subparagraph (a) or (b), and the provision of security or guarantees in respect of such loans, subject to such conditions as may be prescribed by the Minister by way of regulation.
(g) The protection, enforcement or improvement of the rights of poor and needy tenants, labour tenants or occupiers, to use or occupy land or housing.
(h) The provision of training, support or assistance to emerging farmers in order to improve capacity to start and manage agricultural operations.

 

4.        Education and Development

 

(a) The provision of education by a ‘‘school’’ as defined in the South African Schools Act, 1996, (Act No. 84 of 1996).
(b) The provision of ‘‘higher education’’ by a ‘‘higher education institution’’ as defined in terms of the Higher Education Act, 1997, (Act No. 101 of 1997).
(c) ‘‘Adult education and training’’, as defined in the Adult Education and Training Act, 2000, (Act No. 52 of 2000), including literacy and numeracy education.

[Paragraph 4(c) substituted by section 80(a) of the Taxation Laws Amendment Act, 2016 (Act No. 15 of 2016)]

(d) ‘‘Continuing education and training’’ provided by a "public college" or "private college" as defined in the Continuing Education and Training Colleges Act, 2006 (Act No. 16 of 2006), which is registered in terms of that Act.

[Paragraph 4(d) substituted by section 80(a) of the Taxation Laws Amendment Act, 2016 (Act No. 15 of 2016)]

(e) Training for unemployed persons with the purpose of enabling them to obtain employment.
(f) The training or education of persons with a severe physical or mental disability.
(g) The provision of bridging courses to enable educationally disadvantaged persons to enter a higher education institution as envisaged in subparagraph (b).
(h) The provision of educare or early childhood development services for pre-school children.
(i) Training of persons employed in the national, provincial and local spheres of government, for purposes of capacity building in those spheres of government.
(j) The provision of school buildings or equipment for public schools and educational institutions engaged in public benefit activities contemplated in subparagraphs (a) to (h).
(k) Career guidance and counseling services provided to persons attending any school or higher education institution as envisaged in subparagraphs (a) and (b).
(l) The provision of hostel accommodation to students of a public benefit organisation contemplated in section 30 or an institution, board or body contemplated in section 10(1)(cA)(i), carrying on activities envisaged in subparagraphs (a) to (g).
(m) Programmes addressing needs in education provision, learning, teaching, training, curriculum support, governance, whole school development, safety and security at schools, pre-schools or educational institutions as envisaged in subparagraphs (a) to (h).
(n) Educational enrichment, academic support, supplementary tuition or outreach programmes for the poor and needy.
(o) The provision of scholarships, bursaries, awards and loans for study, research and teaching on such conditions as may be prescribed by the Minister by way of regulation in the Gazette.
(p) The provision or promotion of educational programmes with respect to financial services and products, carried on under the auspices of a public eneityt listed under Schedule 3A of the Public Finance Management Act.

[Subparagraph (p) amended by section 151 of Act No. 31 of 2013]

(q) The provision, to the general public, of education and training programmes and courses that are administered and accredited by entities contemplated in paragraph (r);

[Paragraph 4(q) inserted by section 80(b) of the Taxation Laws Amendment Act, 2016 (Act No. 15 of 2016)]

(r) The administration, provision and publication of qualification and certification services by industry organisations recognised by an industry specific organisation and its qualifications accredited by the Quality Council for Trades and Occupations established in 2010 in terms of the Skills Development Act, 1998 (Act No. 97 of 1998).

[Paragraph 4(r) inserted by section 80(b) of the Taxation Laws Amendment Act, 2016 (Act No. 15 of 2016)]

 

5.        Religion, Belief or Philosophy

 

(a) The promotion or practice of religion which encompasses acts of worship, witness, teaching and community service based on a belief in a deity.
(b) The promotion and/or practice of a belief.
(c) The promotion of, or engaging in, philosophical activities.

 

6.        Cultural

 

(a) The advancement, promotion or preservation of the arts, culture or customs.
(b) The promotion, establishment, protection, preservation or maintenance of areas, collections or buildings of historical or cultural interest, national monuments, national heritage sites, museums, including art galleries, archives and libraries.
(c) The provision of youth leadership or development programmes.

 

7.        Conservation, Environment and Animal Welfare

 

(a) Engaging in the conservation, rehabilitation or protection of the natural environment, including flora, fauna or the biosphere.
(b) The care of animals, including the rehabilitation, or prevention of the ill-treatment of animals.
(c) The promotion of, and education and training programmes relating to, environmental awareness, greening, clean-up or sustainable development projects.
(d) The establishment and management of a transfrontier area, involving two or more countries, which-
(i) is or will fall under a unified or coordinated system of management without compromising national sovereignty; and
(ii) has been established with the explicit purpose of supporting the conservation of biological diversity, job creation, free movement of animals and tourists across the international boundaries within the peace park, and the building of peace and understanding between the nations concerned.

 

8.        Research and consumer rights

 

(a)        Research including agricultural, economic, educational, industrial, medical, political, social, scientific and technological research.

(b)        The protection and promotion of consumer rights and the improvement of control and quality with regard to products or services.

 

9.        Sport

 

The administration, development, co-ordination or promotion of sport or recreation in which the participants take part on a non-professional basis as a pastime.

 

10. Providing of funds, assets or other resources

 

The provision of—

(a) funds, assets, services or other resources by way of donation;
(b) assets or other resources by way of sale for a consideration not exceeding the direct cost to the organisation providing the assets or resources;
(c) funds by way of loan at no charge; or
(d) assets by way of lease for an annual consideration not exceeding the direct cost to the organisation providing the asset divided by the total useful life of the asset, to any-
(i) public benefit organisation which has been approved in terms of section 30;
(ii) institution, board or body contemplated in section 10(1)(cA)(i), which conducts one or more public benefit activities in this part (other than this paragraph);
(iii) association of persons carrying on one or more public benefit activity contemplated in this part (other than this paragraph), in the Republic; or
(iv) department of state or administration in the national or provincial or local sphere of government of the Republic, contemplated in section 10(1)(a).

 

11.        General

 

(a) The provision of support services to, or promotion of the common interests of public benefit organisations contemplated in section 30 or institutions, boards or bodies contemplated in section 10(1)(cA)(i), which conduct one or more public benefit activities contemplated in this part.
(b) The bid to host or hosting of any international event approved by the Minister for purposes of this paragraph, having regard to-
(i) the foreign participation in that event; and
(ii) the economic impact that event may have on the country as a whole.
(c) The promotion, monitoring or reporting of development assistance for the poor and needy.
(d) The provision of funds to an organisation—
(i) which is incorporated, formed or established in any country other than the Republic;
(ii) which is exempt from tax on income in that other country;
(iii) the sole or principal object of which is the carrying on of one or more activities that would qualify as public benefit activities listed in Part I of this Schedule if carried on in the Republic; and
(iv) that carries on each of its activities—
(aa) in a non-profit manner;
(bb) with altruistic or philanthropic intent;
(cc) in a manner which does not directly or indirectly promote the economic self-interest of any fiduciary or employee of the organisation other than by way of reasonable remuneration; and
(dd) for the benefit of, or is widely accessible to the general public of that country including any sector thereof (other than small and exclusive groups).

 

Part II

 

1.        Welfare and Humanitarian

 

(a) The care or counseling of, or the provision of education programmes relating to, abandoned, abused, neglected, orphaned or homeless children.
(b) The care or counseling of poor and needy persons where more than 90 per cent of those persons to whom the care or counseling are provided are over the age of 60.
(c) The care or counseling of, or the provision of education programmes relating to, physically or mentally abused and traumatised persons.
(d) The provision of disaster relief.
(e) The rescue or care of persons in distress.
(f) The provision of poverty relief.
(g) Rehabilitative care or counseling or education of prisoners, former prisoners and convicted offenders and persons awaiting trial.
(h) The rehabilitation, care or counseling of persons addicted to a dependence-forming substance or the provision of preventative and education programmes regarding addiction to dependence-forming substances.
(i) Conflict resolution, the promotion of reconciliation, mutual respect and tolerance between the various peoples of South Africa.
(j) The promotion or advocacy of human rights and democracy.
(k) The protection of the safety of the general public.
(l) The promotion or protection of family stability.
(m) The provision of legal services for poor and needy persons.
(n) The provision of facilities for the protection and care of children under school-going age of poor and needy parents.
(o) The promotion or protection of the rights and interests of, and the care of, asylum seekers and refugees.
(p) Community development for poor and needy persons and anti-poverty initiatives, including
(i) the promotion of community-based projects relating to self-help, empowerment, capacity building, skills development or anti-poverty;
(ii) the provision of training, support or assistance to community-based projects contemplated in item (i); or
(iii) the provision of training, support or assistance to emerging micro enterprises to improve capacity to start and manage businesses, which may include the granting of loans on such conditions as may be prescribed by the Minister by way of regulation.
(q) The promotion of access to media and a free press.

 

2.        Health Care

 

(a) The provision of health care services to poor and needy persons.
(b) The care or counseling of terminally ill persons or persons with a severe physical or mental disability, and the counseling of their families in this regard.
(c) The prevention of HIV infection, the provision of preventative and education programmes relating to HIV/AIDS.
(d) The care, counseling or treatment of persons afflicted with HIV/AIDS, including the care or counseling of their families and dependants in this regard.
(e) The provision of blood transfusion, organ donor or similar services.
(f) The provision of primary health care education, sex education or family planning

 

3.        Education and Development

 

(a) The provision of education by a ‘‘school’’ as defined in the South African Schools Act, 1996, (Act No. 84 of 1996).
(b) The provision of ‘‘higher education’’ by a ‘‘higher education institution’’ as defined in terms of the Higher Education Act, 1997, (Act No. 101 of 1997).
(c) ‘‘Adult basic education and training’’, as defined in the Adult Basic Education and Training Act, 2000 (Act No. 52 of 2000), including literacy and numeracy education.
(d) ‘‘Further education and training’’ provided by a "public college" or "private college" as defined in the Further Education and Training Colleges Act, 2006 (Act No. 16 of 2006),which is registered in terms of that Act.
(e) Training for unemployed persons with the purpose of enabling them to obtain employment.
(f) The training or education of persons with a severe physical or mental disability.
(g) The provision of bridging courses to enable educationally disadvantaged persons to enter a higher education institution as envisaged in subparagraph (b).
(h) The provision of educare or early childhood development services for pre-school children.
(i) The provision of school buildings or equipment for public schools and educational institutions engaged in public benefit activities contemplated in subparagraphs (a) to (h).
(j) Programmes addressing needs in education provision, learning, teaching, training, curriculum support, governance, whole school development, safety and security at schools, pre-schools or educational institutions as envisaged in subparagraphs (a) to (h).
(k) Educational enrichment, academic support, supplementary tuition or outreach programmes for the poor and needy.
(l) Training of persons employed in the national, provincial and local spheres of government, for purposes of capacity building in those spheres of government.
(m) Career guidance and counseling services provided to persons attending any school or higher education institution as envisaged in subparagraphs (a) and (b).
(n) The provision of hostel accommodation to students of a public benefit organisation contemplated in section 30 or an institution, board or body contemplated in section 10(1)(cA)(i), carrying on activities envisaged in subparagraphs (a) to (g).
(o) The provision of scholarships, bursaries, awards and loans for study, research and teaching on such conditions as may be prescribed by the Minister by way of regulation in the Gazette.
(p) The provision or promotion of educational programmes with respect to financial services and products, carried on under the auspices of a public entity listed under Schedule 3A of the Public Finance Management Act.

[Paragraph 3(p) amended by section 153 of Act No. 31 of 2013]

 

4.        Conservation, Environment and Animal Welfare

 

(a) Engaging in the conservation, rehabilitation or protection of the natural environment, including flora, fauna or the biosphere.
(b) The care of animals, including the rehabilitation or prevention of the ill-treatment of animals.
(c) The promotion of, and education and training programmes relating to, environmental awareness, greening, clean-up or sustainable development projects.
(d) The establishment and management of a transfrontier area, involving two or more countries, which—
(i) is or will fall under a unified or coordinated system of management without compromising national sovereignty; and
(ii) has been established with the explicit purpose of supporting the conservation of biological diversity, job creation, free movement of animals and tourists across the international boundaries of the peace park, and the building of peace and understanding between the nations concerned.

 

5.        Land and Housing

 

(a) The development, construction, upgrading, conversion or procurement of housing units for the benefit of persons whose monthly household income is equal to or less than R15 000 or any greater amount determined by the Minister of Finance by notice in the Gazette after consultation with the Minister of Housing.
(b) The development, servicing, upgrading or procurement of stands, or the provision of building materials, for purposes of the activities contemplated in subparagraph (a).
(c) Building and equipping of clinics or crèches for the benefit of the poor and needy.
(d) The protection, enforcement or improvement of the rights of poor and needy tenants, labour tenants or occupiers, to use or occupy land or housing.
(e) The promotion, facilitation and support of access to land and use of land, housing and infrastructural development for promoting official land reform programmes.