SARS Interpretation Note 68 Issue 3: Provisions of the Tax Administration Act, 2011, that did not commence on 1 October 2012 under Proclamation No. 51 in Government Gazette 35687 (source: https://www.sars.gov.za/lapd-intr-in-2013-01-in68-provisions-tax-administration-act-not-commenced/)
INTERPRETATION NOTE 68 (Issue 3)
DATE: 8 December 2020
ACT : TAX ADMINISTRATION ACT 28 OF 2011
SECTION : CHAPTER 12 AND SCHEDULE 1
SUBJECT : PROVISIONS OF THE TAX ADMINISTRATION ACT THAT DID NOT
COMMENCE ON 1 OCTOBER 2012 UNDER PROCLAMATION 51 IN
GOVERNMENT GAZETTE 35687
Preamble
In this Note unless the context indicates otherwise –
• “Chapter” means a Chapter of the TA Act;
• “Minister” means the Minister of Finance;
• “MPRRA Act” means the Mineral and Petroleum Resources Royalty
(Administration) Act 29 of 2008;
• “paragraph” means a paragraph of Schedule 1;
• “Proclamation” means Proclamation 51 in Government Gazette 35687 of
14 September 2012;
• “royalty assessment” means an assessment under the MPRRA Act;
• “Schedule 1” means Schedule 1 to the TA Act;
• “section” means a section of the TA Act;
• “TA Act” means the Tax Administration Act 28 of 2011; and
• any other word or expression bears the meaning ascribed to it in the TA Act.
1. Purpose
The TA Act came into operation on 1 October 2012, except for certain provisions
relating to interest. This Note identifies those interest provisions that have come into
operation and those that have not yet come into operation.
It reflects the relevant legislation at the date of publication and considers the various
amendments effected since the introduction of the TA Act.
2. Background
Under section 272 the President must by proclamation in the Government Gazette
determine the date on which the TA Act comes into operation and may determine
different effective dates for different provisions.
The Proclamation (Annexure A) was published on 14 September 2012 and provided
that the TA Act came into operation on 1 October 2012 except for –
• sections 187(2), (3)(a) to (e) and (4), 188(2) and (3), and 189(2) and (5); and
• any provision of Schedule 1 that amended or repealed a provision of a tax Act
relating to interest under that tax Act, to the extent of that amendment or repeal.
Other than those provisions contained in Schedule 1, the provisions that have not
commenced form part of Chapter 12, which introduced a new regime for the purposes
of interest on tax debts and refunds, and comprise –
• section 187 – general interest rules;
• section 188 – period over which interest accrues; and
• section 189 – rate at which interest is charged.
Schedule 1 sets out the provisions of various Acts administered by SARS that have
been amended or repealed by the TA Act. The Acts affected and the paragraphs that
apply include the following:
• Diamond Export Levy (Administration) Act 14 of 2007 (paragraphs 167 to 171)
• Estate Duty Act 45 of 1955 (paragraphs 12 to 22)
• Income Tax Act 58 of 1962 (paragraphs 23 to 106)
• MPRRA Act (paragraphs 183 to 192)
• Securities Transfer Tax Administration Act 26 of 2007 (paragraphs 172 to 179)
• South African Revenue Service Act 34 of 1997 (paragraph 147)
• Skills Development Levies Act 9 of 1999 (paragraphs 148 to 156)
• Transfer Duty Act 40 of 1949 (paragraphs 1 to 11)
• Unemployment Insurance Contributions Act 4 of 2002 (paragraphs 157 to 166)
• Value-Added Tax Act 89 of 1991 (paragraphs 107 to 146)
• A number of amending Acts (paragraphs 180 to 182 and 193 to 196)
Since the new interest regime under Chapter 12 necessitates substantial changes to
SARS’s existing systems which have not been finalised, the Proclamation maintained
the interest regime before the promulgation of the TA Act by excepting from coming
into operation most of Chapter 12 and the provisions of Schedule 1 amending or
repealing sections of the other tax Acts relating to interest.
Consequently, barring subsequent amendments, these sections remain in force as
they read before their amendment or repeal by Schedule 1 until the commencement
of the entire TA Act. In order to facilitate the eventual commencement of the new
regime, section 272 additionally provides that the Minister may by public notice
determine the dates on which Chapter 12 and the provisions relating to interest in
Schedule 1 come into operation per tax type.
3. The law
The provisions of the TA Act relating to the accrual of interest are predominantly
contained in Chapter 12 and Schedule 1. Annexure B sets out a description of the
provisions of Schedule 1 that have not commenced or have commenced except to the
extent that they relate to interest and provides information regarding the effect that
these provisions have on the various sections of the tax Acts that are affected.
4. Application of the law
4.1 Provisions of the Tax Administration Act relating to the accrual of interest that
commenced on or after 1 October 2012
Since each Act governing a tax type, along with their administration Act if applicable,
is the primary legislative authority for both the charging and administration of a specific
tax, the sections of the other tax Acts discussed in Annexure B supersede the interest
provisions in the TA Act that have commenced.
The ones that have commenced do, however, find application in relation to tax debts
that arise as a result of understatement penalties, refunds not properly payable under
section 190(5), and jeopardy assessments because tax debts that arise as a result of
these, are not regulated under any of the other tax Acts, and, as discussed below, the
sections that have commenced make the imposition of interest under the TA Act
possible.
Additionally, amendments to the MPRRA Act, repealed the deletion of section 16 of
that Act in Schedule 1, and amended this section to make interest payable in
accordance with Chapter 12 for years of royalty assessment commencing on or after
1 January 2017. 1 Chapter 12 is therefore fully operational in relation to these and
subsequent royalty assessments.
Under section 187(1), if a tax debt or refund is not paid in full by the “effective date”,
interest accrues and is payable on the outstanding balance at the rate provided under
section 189 and for the period provided under section 188. The term “effective date” is
defined in section 1 to mean the date described in section 187(3), (4), and (5) or the
date from when interest is otherwise calculated under a tax Act. The effective date for
purposes of the calculation of interest on –
• mineral and petroleum resource royalty, is the date by which tax for the tax
period is finally due and payable under the tax Act; 2
• refunds not properly payable, is the date of payment of the refund referred to
in section 190(5); 3 and
• jeopardy assessments, is the date for payment specified in the jeopardy
assessment. 4
Section 44 read with section 65 of the Tax Administration Laws Amendment Act 16 of 2016.
Section 16 of the MPRRA Act read with section 187(3)(a) of the TA Act for years of royalty
assessment commencing on or after 1 January 2017.
Section 187(3)(g), which came into operation on 8 January 2016, the date of promulgation of the
Tax Administration Laws Amendment Act 23 of 2015.
Section 187(5) which came into operation on 1 October 2012 with the rest of the TA Act.
With regard to understatement penalties, when the whole of Chapter 12 and
Schedule 1 come into operation, the effective date for interest on these penalties
imposed on tax understated from 1 October 2012, will be the effective date for the tax
understated, 5 and imposed on tax understated before 1 October 2012, will be
1 October 2012. 6 In the meantime, interest on such penalties must be calculated in the
manner that interest on additional tax penalties before its repeal, was calculated under
the applicable sections governing interest under the relevant tax Acts. 7
With regard to the calculation of interest on royalty assessments, refunds not properly
payable, and jeopardy assessments, interest accrues –
• from the effective date of the tax to the date the tax is paid; 8 and
• at the prescribed rate, namely, the interest rate that the Minister may from time
to time fix by notice in the Gazette under section 80(1)(b) of the Public Finance
Management Act 1 of 1999. 9 The new rate will come into operation on the first
day of the second month following the month in which the new rate becomes
effective for purposes of the Public Finance Management Act. 10
With regard to remittal of interest, if a senior SARS official is satisfied that interest
payable by a taxpayer under section 187(1) is payable as a result of circumstances
beyond the taxpayer’s control, the official may, unless prohibited by a tax Act, direct
that the interest attributable to these circumstances, not be payable by the taxpayer.
The circumstances are limited to a natural or human-made disaster, a civil disturbance,
disruption in services, or a serious illness or accident. 11 Since section 187(6) refers to
interest imposed under section 187(1), the remittal presently applies only to interest
payable in respect of royalty assessments, refunds not properly payable, and jeopardy
assessments as set out above. Section 187(8) stipulates that SARS may not remit
interest under section 187(6), in the case of an assessment by SARS, after the expiry
of three years from the date of assessment of the tax in respect of which the interest
accrued, or five years in the case of a self-assessment. The reason for this is that the
right to request remittance of interest cannot be open ended or finality will never be
achieved. 12
Although section 187(1) also regulates interest on refunds payable by SARS, since
section 188(3) has not yet come into operation other than for royalty assessments,
interest under this section does not presently legislatively accrue to any other refunds.
Section 187(3)(f) which also came into operation on 1 October 2012 with the rest of the TA Act.
Section 270(6E)(b) which was introduced and deemed to have come into operation on 1 October
2012 by Act 23 of 2015 and amended by Act 13 of 2017.
Section 270(6E)(a).
Section 188(1).
Section 189(1) read with subsection (3).
Section 189(4).
Section 187(6) and (7).
Section 187(8) applies from 8 January 2016, namely, the date of promulgation of Act 23 of 2015,
which introduced this section.
4.2 Provisions of the Tax Administration Act relating to the accrual of interest that
have not commenced
4.2.1 Provisions of Chapter 12
Sections 187(2), (3)(a) to (e) and (4), 188(2) and (3) and 189(2) and (5) have not yet
commenced, except for purposes of section 16 of the MPRRA Act.
4.2.2 Provisions of Schedule 1
The fact that the provisions in Schedule 1 amending or repealing sections of tax Acts
relating to interest have not commenced means that the affected sections in the tax
Acts are still operational. These sections will remain operational until such time as the
President determines by proclamation or the Minister by notice when Chapter 12 and
the relevant provisions of Schedule 1 come into operation, or when an amendment Act
changes this position.
However, these sections do not necessarily remain fully operational as their
amendment or repeal must relate to interest and is only suspended “to the extent of
that amendment or repeal”, namely, to the extent that the amendment or repeal relates
to interest.
Since some of these sections address other matters, the amendment or repeal in the
paragraph of Schedule 1 of the parts (including subsections, paragraphs, items,
portions of these, or even cross-references) that do not extend to interest did
commence, and these parts are no longer operational.
With regard to cross-references that were repealed by Schedule 1, in as far as they do
not relate to interest, their amendment or repeal is enacted, and must be read as
amended, or if repealed, as a reference to the equivalent re-enacted or existing
provision under the TA Act or another tax Act.
Additionally, since the affected sections originate in a tax Act, what remains operational
because of the suspended amendment or repeal of a provision of Schedule 1, will only
find application to the tax type associated with the tax Act.
Finally, because the definition of “tax” in section 1 includes “interest … imposed under
a tax Act”, the other provisions of the TA Act apply to interest which accrues under the
tax Acts, on tax debts and refunds (when applicable), for example:
• Information gathering (Chapter 5)
• Confidentiality of information (Chapter 6)
• Advance rulings (Chapter 7)
• Assessments (Chapter 8)
• Dispute resolution (Chapter 9)
• Tax liability and payment (Chapter 10)
• Recovery of tax (Chapter 11)
• Write-off or compromise of tax debts (Chapter 14)
• Administrative non-compliance penalties (Chapter 15)
• Understatement penalty (Chapter 16)
• Criminal offences (Chapter 17)
Leveraged Legal Products
SOUTH AFRICAN REVENUE SERVICE
Date of 1st issue : 16 November 2012
Date of 2nd issue : 7 February 2013
Annexure A – Proclamation 51 Government Gazette 35687
STAATSKOERANT, 14 SEPTEMBER 2012 No. 35687 3
PROCLAMATION
by the
President of the Republic of South Africa
No. 51, 2012
DETERMINATION OF THE DATES ON WHICH CERTAIN PROVISIONS OF THE TAX
ADMINISTRATION ACT, 2011 (ACT NO. 28 OF 2011) MUST COME INTO OPERATION
In terms of section 272 of the Tax Administration Act, 2011 (Act No. 28 of 2011), I
hereby, determine the dates on which specific provisions of the Act must come into
operation, as set out in the Schedule hereto.
Given under my Hand and the Seal of the Republic of South Africa at Pretoria this
Eighth day of September, Two Thousand and Twelve.
PRESIDENT
By Order of the President-in-Cabinet
MINISTER OF THE CABINET
SCHEDULE
4 No. 35687 GOVERNMENT GAZETTE, 14 SEPTEMBER 2012
The Tax Administration Act, 2011 (Act No. 28 of 2011) shall commence on 1 October 2012
except for—
(a) sections 187(2), (3)(a) to (e) and (4), 188(2) and (3) and 189(2) and (5) of the Act; and
(b) any provision of Schedule 1 to the Act that amends or repeals a provision of a tax Act
relating to interest under that tax Act, to the extent of that amendment or repeal.
Annexure B – Table: Extent to which provisions of Schedule 1, have not commenced
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
Transfer Duty Act 40 of 1949
1. Paragraph 3(a) Section 4 of the Transfer Duty Heading of section 4 No change to current heading of Paragraph 3(a) has not
Act is hereby amended by the of the Transfer Duty section 4 of the Transfer Duty commenced as the
substitution for the heading of Act Act. amendment relates only to
the following heading: interest and the heading of
the section prior to the
“Penalty [and interest] on late
amendment continues to
payment of duty”
apply.
2. Paragraph 3(c) Section 4 of the Transfer Duty Section 4(1A) of the Section 4(1A) of the Transfer Paragraph 3(c) has not
Act is hereby amended by the Transfer Duty Act Duty Act not deleted. commenced as the
deletion of subsection (1A) deleted section relates
only to interest and the
section prior to its deletion
continues to apply.
3. Paragraph 11 Sections 17, 17A, 17B, 18, 20, Section 18 of the Section 18(2)(a) of the Transfer Paragraph 11 partially
20A, 20C and 20D of the Transfer Duty Act Duty Act not repealed to the commenced to the extent
Transfer Duty Act are hereby extent that it relates to interest that sections 17, 17A,
repealed and sections 18(5) and (6) of the 17B, 18(1), 18(2)(b),
Transfer Duty Act not repealed 18(3), 18(4), 20, 20A, 20C
and 20D of the Transfer
Duty Act do not relate to
interest and have been
repealed. However,
section 18(2)(a) makes
Part IIIA of Chapter III of
the Income Tax Act
applicable to transfer duty
and this Part includes
section 88(5) to (7) of the
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
Income Tax Act which
relates only to interest.
Additionally,
sections 18(5) and (6) of
the Transfer Duty Act
relates only to interest.
The paragraph has
consequently not
commenced to the extent
that it deletes the
reference to interest under
the Income Tax Act in the
former section and deletes
the latter sections and
these sections continue to
apply.
Estate Duty Act 45 of 1955
4. Paragraph 18 Section 10 of the Estate Duty Section 10(1) of the No change to current wording of Paragraph 18 read with
Act is hereby amended by the Estate Duty Act section 10 of the Estate Duty Act section 3 of Act 21 of
substitution for subsection (1) of until its amendment as follows by 2012, has not commenced
the following subsection: section 2(a) of the Tax as the amendment relates
Administration Laws Amendment only to interest and the
“If [any duty remains unpaid
Act 13 of 2017,pending its wording of the section
at the expiration of a period
substitution by paragraph 18 as prior to the amendment
of thirty days from the date of
amended: continued to apply until
payment notified in
14 December 2017 when
accordance with “If any duty remains unpaid at the
section 2(a) of Act 13 of
subsection (2) of section expiration of a period of thirty
2017 amended the section
nine, there shall be payable, days from the date [of] for
until the commencement
in addition to the unpaid payment [notified in accordance
of paragraph 18 as
duty, interest at the rate of with subsection (2) of section
amended.
six per cent per annum on nine] prescribed in terms of
the amount of unpaid duty section 9C, there shall be
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
calculated from the date of payable, in addition to the unpaid
the expiration of the said duty, interest at the rate of six per
period to the date of cent per annum on the amount of
payment: Provided that, unpaid duty calculated from the
where] the assessment of duty date of the expiration of the said
is delayed beyond a period of period to the date of payment:
twelve months from the date of Provided that, where the
death, interest at the prescribed assessment of duty is delayed
rate [of six per cent per beyond a period of twelve months
annum] shall be payable as from the date of death, interest at
from a date twelve months after the rate of six per cent per annum
the date of death on the shall be payable as from a date
difference (if any) between the twelve months after the date of
duty assessed and any deposit death on the difference (if any)
(if any) made on account of the between the duty assessed and
duty payable within the said any deposit (if any) made on
period of twelve months.” account of the duty payable within
the said period of twelve months.”
Section 10(1) was further
amended by section 3(1) of
Act 21 of 2012 as follows, its
effective date to coincide with
that of paragraph 18:
“[If the assessment of duty is
delayed beyond a period of
twelve months from the date
of death, interest at the
prescribed rate shall be]
Interest in terms of Chapter 12
of the Tax Administration Act
[payable as from a date
twelve months after the date
of death] must be calculated
on the difference (if any)
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
between the duty assessed and
any deposit [(if any)] made on
account of the duty [payable
within the said period of
twelve months].”
5. Paragraph 20 Sections 12A, 12B, 23, 23bis, Section 24 of the Section 24(2)(b) of the Estate Paragraph 20 partially
24, 25, 25A and 27 the Estate Estate Duty Act Duty Act not repealed to the commenced to the extent
Duty Act are hereby repealed extent that it relates to interest that sections 12A, 12B,
23, 23bis, 24(1), 24(2)(a),
24(3), 25, 25A and 27 of
the Estate Duty Act do not
relate to interest and have
been repealed. However,
section 24(2)(b) makes
Part IIIA of Chapter III of
the Income Tax Act
applicable to estate duty
and this Part includes
section 88(5) to (7) of the
Income Tax Act which
relates only to interest.
The paragraph has
consequently not
commenced to the extent
that that it deletes this
reference, which
continues to apply.
Income Tax Act 58 of 1962
6. Paragraph 23(f) read Section 1(1) of the Income Tax Definition of No changes to current definition Paragraph 23(f) has not
with (n) Act is hereby amended by the “prescribed rate” in of “prescribed rate” in section 1(1) commenced as the
substitution for the definition of of the Income Tax Act. amendment relates only to
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
“prescribed rate” of the section 1(1) of the interest and the definition
following definition: Income Tax Act of “prescribed rate” in
section 1(1) of the Income
“‘prescribed rate’ means the
Tax Act prior to the
rate contemplated in
amendment continues to
section 189(3) of the Tax
apply.
Administration Act;”
7. Paragraph 43(c) Section 35A of the Income Tax Section 35A(9) of the No change to current wording of Although not material,
Act is hereby amended by the Income Tax Act section 35A(9) of the Income Tax paragraph 43(c) partially
substitution for subsection (9) of Act to the extent that it relates to commenced to the extent
the following subsection: interest. that the amendment
relates to the penalty. It
“If a purchaser fails to pay any
has not commenced to the
amount contemplated in
extent that the wording of
subsection (1) to the
the section prior to the
Commissioner within the period
amendment relates to
allowed for payment in terms of
interest and this wording
subsection (4), that
continues to apply.
purchaser[—
(a) is liable for interest at the
prescribed rate on any
amount outstanding
calculated from the day
following the last date for
payment to the date that
the amount is received
by the Commissioner;
and
(b)] must pay a penalty equal to
ten per cent of [that] the
amount, in addition to any
other penalty or charge for
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
which he or she may be
liable under this Act.
8. Paragraph 49 Sections 47H and 47I of the Sections 47I of the Section 47I of the Income Tax Act Paragraph 49 partially
Income Tax Act are hereby Income Tax Act not repealed to the extent that it commenced to the extent
repealed relates to interest that section 47H of the
Income Tax Act does not
relate to interest and has
been repealed. However,
section 47I of the Income
Tax Act makes Chapter III
of the Income Tax Act
applicable to tax on
foreign entertainers and
sportspersons and this
Chapter includes
sections 88(5) to (7) of the
Income Tax Act which
relates only to interest.
The paragraph has
consequently not
commenced to the extent
that that it deletes this
reference, which
continues to apply.
9. Paragraph 55 Section 64K of the Income Tax Section 64K(6) of the Section 64K(6) of the Income Tax Paragraph 55 partially
Act is hereby amended by the Income Tax Act Act not deleted. commenced to the extent
deletion of subsections (3), (5), that sections 64K(3), (5),
(6), (7) and (8) (7) and (8) of the Income
Tax Act do not relate to
interest and have been
deleted. It has not
commenced to the extent
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
that it deletes
section 64K(6) of the
Income Tax Act which
relates only to interest
and continues to apply.
10. Paragraph 66 Sections 80K, 80M, 80N, 80O, Sections 80K, 88(5), Sections 80K, 88(5), 88(6), 88(7), Paragraph 66 partially
80P, 80Q, 80R, 80S, 80T, 81, 88(6), 88(7), 89(2), 89(2), 89bis(2), and 89quin of the commenced to the extent
82, 83, 83A, 84, 85, 86A, 87, 89bis(2), 89quat, and Income Tax Act are not repealed. that sections 80M, 80N,
88, 88A, 88B, 88C, 88D, 88E, 89quin of the Income Section 89quat not repealed but 80O, 80P, 80Q, 80R, 80S,
88F, 88G, 88H, 89, 89bis, Tax Act amended as follows by section 3 80T, 81, 82, 83, 83A, 84,
89ter, 89quat, 89quin, 89sex of the Tax Administration Laws 85, 86A, 87, 88(1) to (4),
and 89sept of the Income Tax Amendment 22 of 2018 pending 88A, 88B, 88C, 88D, 88E,
Act are hereby repealed its repeal by paragraph 66: 88F, 88G, 88H, 89(1),
89bis(1), 89ter, 89sex and
““normal tax” includes any
89sept of the Income Tax
additional amounts payable in
Act do not relate to
terms of section 76 and
interest and have been
[paragraphs] paragraph 20 [and
repealed. It has not
20A] of the Fourth Schedule.”
commenced to the extent
that it repeals
sections 80K, 88(5), 88(6),
88(7), 89(2), 89bis(2),
89quat and 89quin of the
Income Tax Act which
relates only to interest and
continue to apply.
However, with regard to
the definition of “normal
tax” in section 89quat of
the Income Tax Act, the
wording of this definition
prior to repeal continued
to apply until 16 January
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
2019 when section 3 of
the Tax Administration
Laws Amendment Act 22
of 2018 amended the
definition, until such time
that paragraph 66
commences.
11. Paragraph 68(b) Section 91 of the Income Tax Section 91(5) of the No change to the current wording Paragraph 68(b) of the
Act is hereby amended by the Income Tax Act of section 91(5) of the Income Income Tax Act has not
substitution for subsection (5) of Tax Act. commenced as the
the following subsection: amendment relates only to
interest and the wording of
“So much of any interest
the section prior to
payable in terms of [section
amendment continues to
eighty-nine] Chapter 12 of the
apply.
Tax Administration Act as
relates to such portion of any
tax as is in terms of
subsection (4) recoverable from
the assets referred to in that
subsection may also be
recovered from such assets.”
12. Paragraph 72(b) Section 103 of the Income Tax Section 103(6) of the Section 103(6) of the Income Tax Paragraph 72(b) has not
Act is hereby amended by the Income Tax Act Act not repealed commence as the deleted
deletion of subsection (6) section relates only to
interest and continues to
apply.
Fourth Schedule to the Income Tax Act (Provisional tax)
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
13. Paragraph 93(a) Paragraph 23A of the Fourth Paragraph 23A(1) of No change to current wording of Paragraph 93(a) has not
Schedule to the Income Tax Act the Fourth Schedule paragraph 23A(1) of the Fourth commenced as the
is hereby amended by the to the Income Tax Schedule to the Income Tax Act amendment relates only to
substitution for Act interest and the wording of
subparagraph (1) of the the section prior to
following subparagraph: amendment continues to
apply.
“Any provisional taxpayer may
for the purpose of avoiding or
reducing his or her liability for
any interest which may become
payable by him or her in
respect of any year of
assessment under
[section 89quat] Chapter 12 of
the Tax Administration Act,
elect to make an additional
payment of provisional tax in
respect of such year.”
14. Paragraph 93(b) Paragraph 23A of the Fourth Paragraph 23A(2) of Paragraph 23A(2) of the Fourth Paragraph 93(b) has not
Schedule to the Income Tax Act the Fourth Schedule Schedule to the Income Tax Act commenced as the
is hereby amended by the to the Income Tax not deleted deleted section relates
deletion of subparagraph (2) Act only to interest and
continues to apply.
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
Sixth Schedule to the Income Tax Act (Turnover tax payable by micro businesses)
15. Paragraph 99(a) Paragraph 11 of the Sixth Paragraph 11(3) of Paragraph 11(3) of the Sixth Paragraph 99(a) has not
Schedule to the Income Tax Act the Sixth Schedule to Schedule to the Income Tax Act commenced as the
is hereby amended by the the Income Tax Act not deleted deleted paragraph relates
deletion of subparagraph (3) only to interest and
continues to apply.
16. Paragraph 102 Paragraph 15 of the Sixth Paragraph 15 of the Paragraph 15 of the Sixth Paragraph 15 of the Sixth
Schedule to the Income Tax Act Sixth Schedule to the Schedule to the Income Tax Act Schedule to the Income
is hereby repealed. Income Tax Act not repealed to the extent that it Tax Act makes Chapter III
relates to interest of the Income Tax Act
applicable to turnover tax
and this Chapter includes
sections 88(5) to (7) of the
Income Tax Act which
relates only to interest.
Paragraph 102 has
consequently not
commenced to the extent
that that it deletes this
reference, which
continues to apply.
Value-Added Tax Act 89 of 1991
17. Paragraph 108(c) Section 1(1) of the VAT Act is Definition of No change to the current Paragraph 108(c) has not
read with (g) hereby amended by the “prescribed rate” in definition of “prescribed rate” in commenced as the
substitution for the definition of section 1(1) of the section 1(1) of the VAT Act amendment relates only to
“prescribed rate” of the VAT Act interest and the definition
following definition: of “prescribed rate” prior to
amendment continues to
“‘prescribed rate’ means the
apply.
rate contemplated in
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
section 189(3) of the Tax
Administration Act;”
18. Paragraph 127 Sections 33, 33A, 34, 35, 36 Section 36(5) and (6) Section 36(5) and (6) not Paragraph 127 partially
and 37 of the VAT Act are of the VAT Act repealed of the VAT Act commenced to the extent
hereby repealed that sections 33, 33A, 34,
35, 36(1) to (4) and 37 of
the VAT Act do not relate
to interest and have been
repealed. It has not
commenced to the extent
that it repeals
section 36(5) and (6) of
the VAT Act which relates
only to interest and
continue to apply.
19. Paragraph 128(a) Section 39 of the VAT Act is Heading of No change to current heading of Paragraph 128(a) has not
hereby amended by the section 39 of the section 39 of the VAT Act. commenced as the
substitution for the heading of VAT Act amendment relates only to
the following heading: interest and the heading of
the section prior to
“Penalty [and interest] for
amendment continues to
failure to pay tax when due”
apply.
20. Paragraph 128(b) Section 39 of the VAT Act is Section 39(1) of the No change to current wording of Paragraph 128(b) partially
hereby amended by the VAT Act section 39(1) of the VAT Act to commenced to the extent
substitution for subsection (1) of the extent that it relates to that the amendment
the following subsection: interest. relates to penalties. The
section now provides for
“[(a)] If any person who is liable
the imposition of penalties
for the payment of tax and
on taxes payable in terms
is required to make such
of sections 14, 28(1) and
payment [in the manner
29 of the VAT Act in
prescribed in] in
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
accordance with the accordance with the TA
provisions of section 14, Act. The paragraph has
28(1) or 29, fails to pay any not commenced to the
amount of such tax within extent that the wording of
the period for the payment the section prior to
of such tax specified in the amendment relates to
said [provision he shall] interest on the late
provisions, the payment of taxes under
Commissioner must, in section 28(1) of the VAT
[addition to such amount Act, which wording
of tax, pay] accordance continues to apply.
with Chapter 15 of the Tax Additionally, as they do
Administration Act, not relate to interest,
impose[— section 16(5) of the VAT
Act must be read as
(i) ] a penalty equal to 10
amended and
per cent of the said
section 44(1) and (6) of
amount of tax[; and
the VAT Act as references
(ii) where payment of to sections 190 and 191 of
the said amount of the TA Act respectively.
tax is made on or
after the first day of
the month following
the month during
which the period
allowed for payment
of the tax ended,
interest on the said
amount of tax,
calculated at the
prescribed rate (but
subject to the
provisions of
section 45A) for each
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
month or part of a
month in the period
reckoned from the
said first day.
(b) Where any amount of tax
has in relation to any tax
period of any vendor
been refunded to the
vendor in terms of the
provisions of
section 44(1), read with
section 16(5), or has in
relation to that period
been set off against
unpaid tax in terms of the
provisions of
section 44(6), and such
amount was in whole or
in part not properly
refundable to the vendor
under section 16(5), so
much of such amount as
was not properly so
refundable shall for the
purposes of paragraph
(a)(i) be deemed to an
amount of tax required to
be paid by the vendor
within the said period
and for the purposes of
paragraph (a)(ii), an
amount of tax required to
be paid by the vendor
during the period in
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
which the refund was
made].”
21. Paragraph 128(c) Section 39 of the VAT Act is Section 39(2) of the Section 39(2) of the VAT Act not Paragraph 128(c) partially
hereby amended by the VAT Act deleted to the extent that it relates commenced to the extent
deletion of subsection (2) to interest. that the deletion relates to
penalties. The section no
longer provides for the
imposition of penalties on
taxes payable in terms of
section 29 of the VAT Act,
these now being regulated
in accordance with
section 39(1) of the TA
Act. The paragraph has
not commenced to the
extent that the deletion
relates to interest and the
section continues to apply
to interest on the late
payment of taxes under
section 29.
22. Paragraph 128(d) Section 39 of the VAT Act is Section 39(4) of the No change to the current wording Paragraph 128(d) partially
hereby amended by the VAT Act of section 39(4) of the VAT Act to commenced to the extent
substitution for subsection (4) of the extent that it relates to that the amendment
the following subsection: interest. relates to penalties. The
section now provides for
“Where any importer of goods
the imposition of penalties
which are required to be
in accordance with the TA
entered under the Customs and
Act. The paragraph has
Excise Act, fails to pay any
not commenced to the
amount of tax payable in
extent that the wording of
respect of the importation of the
the section prior to
goods on the date on which the
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
goods are entered under the amendment relates to
said Act for home consumption interest on the late
in the Republic or the date on payment of the taxes
which customs duty is payable under this section, which
in terms of the said Act in wording continues to
respect of the importation or, if apply.
such duty is not payable, the
date on which it would be so
payable if it had been payable,
whichever date is later, the
Commissioner must, in
accordance with Chapter 15 of
the Tax Administration Act,
impose on that importer [shall,
in addition to such amount of
tax pay—
(a)] a penalty equal to 10 per
cent of the said amount of
tax[; and
(b) where payment of the
said amount of tax is
made on or after the first
day of the month
following the month
during which the period
allowed for payment of
the tax ended, interest on
the said amount of tax,
calculated at the
prescribed rate (but
subject to the provisions
of section 45A) for each
month or part of a month
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
in the period reckoned
from the said first day].”
23. Paragraph 128(e) Section 39 of the VAT Act is Section 39(5) of the No change to the current wording Paragraph 128(e) partially
hereby amended by the VAT Act of section 39(5 of the VAT Act) to commenced to the extent
substitution for subsection (5) of the extent that it relates to that the amendment
the following subsection: interest. relates to penalties. The
section now provides for
“Where any person who is
the imposition of penalties
liable for the payment of tax
in accordance with the TA
fails to pay any amount of such
Act. The paragraph has
tax on the date on which in
not commenced to the
terms of the Customs and
extent that the wording of
Excise Act, liability arises for
the section prior to
the payment of the excise duty
amendment relates to
or environmental levy referred
interest on the late
to in section 7(3)(a), the
payment of the taxes
Commissioner must, in
under this section, which
accordance with Chapter 15 of
wording continues to
the Tax Administration Act,
apply.
impose on that person [shall,
in addition to such amount of
tax, pay—
(a)] a penalty equal to 10 per
cent of the said amount of
tax[; and
(b) where payment of the
said amount of tax is
made on or after the first
day of the month
following the month
during which the period
allowed for payment of
the tax ended, interest on
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
that amount of tax,
calculated at the
prescribed rate (but
subject to the provisions
of section 45A) for each
month or part of a month
in the period reckoned
from the said first day].”
24. Paragraph 128(f) Section 39 of the VAT Act is Section 39(6), (6A), Section 39(6) and (7) of the VAT Paragraph 128(f) partially
hereby amended by the (7) and (8) of the Act not deleted to the extent that commenced to the extent
deletion of subsections (6), VAT Act it relates to interest and that the deletions of
(6A), (7) and (8). section 39(6A) and (8) of the VAT sections 39(6) and (7) of
Act not deleted. the VAT Act relates to
penalties. Section 39(6) of
the VAT Act no longer
provides for the imposition
of penalties on taxes
payable in terms of
section 14 of the VAT Act,
these are now regulated
under the TA Act (in
accordance with
section 39(1) of the VAT
Act) and section 39(7) of
the VAT Act no longer
regulates the remission of
penalties, such being
regulated in accordance
with other amended
sections, under the TA
Act. The paragraph has
not commenced to the
extent that the deletion
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
relates to interest and
section 39(6) of the VAT
Act continues to apply to
interest on the late
payment of taxes under
sections 14 and 39(7) of
the VAT Act to the
remission of interest. The
paragraph has additionally
not commenced to the
extent that
sections 39(6A) and (8) of
the VAT Act relates only to
interest and they continue
to do so, section 39(6A)
as provided for in
section 270(6E) of the TA
Act.
25. Paragraph 133(e) Section 44 of the VAT Act is Section 44(7) of the Section 44(7) of the VAT Act not Paragraph 133(e) partially
hereby amended by the VAT Act amended to the extent that it commenced to the extent
substitution for subsection (7) of relates to interest. that the amendment
the following subsection: relates to refunds, which
are now refundable under
“Where the vendor has failed to
the TA Act. It has not
furnish a return for any tax
commenced to the extent
period as required by this Act,
that the wording of the
the Commissioner may withhold
section prior to
payment of any amount
amendment relates to the
refundable to the vendor under
withholding of interest as
[subsection (1) or any
described, which wording
amount of interest payable to
continues to apply.
the vendor in terms of
section 45] section 190 of the
Tax Administration Act until the
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
vendor has furnished such
return as so required.”
26. Paragraph 134 The VAT Act is hereby Section 45(1) and (2) Section 45(1) and (2) of the VAT Paragraph 134, read with
amended by the substitution for of the VAT Act Act not repealed. section 32 of the Tax
section 45 of the following Administration Laws
section: Amendment Act 44 of
2014 and section 136 of
“Interest on delayed refunds
the Tax Administration
(1) Where the Commissioner Laws Amendment Act 23
does not within the period of 21 of 2015, has not
business days after the date on commenced as the
which the vendor’s return in amendment relates only to
respect of a tax period is interest and the wording of
received by a SARS office the section prior to
refund any amount refundable amendment continues to
under the Tax Administration apply. However, as they
Act, interest will be paid on do not relate to interest,
such amount in accordance section 44(1) of the VAT
with Chapter 12 of that Act. Act must be read as a
reference to section 190 of
(2) Despite the provisions of
the TA Act, section 48(1)
Chapter 12 of the Tax
as a reference to
Administration Act, if a person
section 46 of the VAT Act
fails to—
and section 23(2)(ii)(bb)
(a) without just cause submit as a reference to
relevant material, section 23(2).
requested by SARS for
purposes of verification,
inspection or audit of a
refund in accordance with
Chapter 5 of the Tax
Administration Act; or
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
(b) furnish SARS in writing
with particulars of the
account required in terms
of section 44(3)(d) to
enable SARS to transfer a
refund to that account,
no interest accrues on the
amount refundable for the
period from the date that—
(i) in respect of
subparagraph (a), the
relevant material was
required to be
submitted; or
(ii) in respect of
subparagraph (b), the
refund is authorised,
until the date that the person
submits the relevant material or
bank account particulars.”
Section 45(2) was further
amended by section 32 of the
Tax Administration Laws
Amendment Act 44 of 2014
read with section 136 of the Tax
Administration Laws
Amendment Act 23 of 2015 as
follows, its effective date to
coincide with that of
paragraph 134:
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
“Despite the provisions of
Chapter 12 of the Tax
Administration Act, if a person
fails to[—
(a) without just cause
submit relevant material,
requested by SARS for
purposes of verification,
inspection or audit of a
refund in accordance
with Chapter 5 of the Tax
Administration Act; or
(b)] furnish SARS in writing
with particulars of the
account required in terms
of section 44(3)(d) to
enable SARS to transfer a
refund to that account,
no interest accrues on the
amount refundable for the
period from the date that[—
(i) in respect of
subparagraph (a),
the relevant material
was required to be
submitted; or
(ii) in respect of
subparagraph (b),]
the refund is
authorised,
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
until the date that the person
submits the [relevant material
or] bank account particulars.”
27. Paragraph 135 Section 45A of the VAT Act is Section 45A of the Section 45A of the VAT Act not Paragraph 135 has not
hereby repealed. VAT Act repealed. commenced as the
repealed section relates
only to interest and
continues to apply.
28. Paragraph 144(a) Section 61 of the Value-Added Section 61(1) of the Section 61(1) of the VAT Act not Paragraph 144(a) partially
Tax Act is hereby amended by VAT Act amended to the extent that it commenced to the extent
the substitution for relates to interest. that the amendment
subsection (1) of the following relates to penalties, which
subsection: are now payable under
Chapters 15 and 16 of the
“Where in respect of any supply
TA Act, and the estimation
made by a vendor, the vendor
of assessments, which are
has, in consequence of any
now regulated under
fraudulent action or any
section 95 of the TA Act. It
misrepresentation by the
has not commenced to the
recipient of the supply,
extent that the wording of
incorrectly applied a rate of
the section prior to
zero per cent or treated such
amendment relates to
supply as being exempt from
interest, which wording
tax, the Commissioner may,
continues to apply.
notwithstanding anything to the
contrary contained in this Act,
raise an assessment upon the
recipient for the amount of tax
payable, together with any
interest and penalty [or
interest that has become
payable in terms of
section 39] that has become
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
payable in terms of Chapter 12,
15 or 16 of the Tax
Administration Act, as the case
may be, in respect of such
amount[, and, in raising such
assessment, the
Commissioner may estimate
the amount on which the tax
is payable].”
Skills Development Levies Act 9 of 1999
29. Paragraph 152(a) Section 11 of the Skills Section 11(1) of the No change to the current wording Paragraph 152(a) has not
Development Levies Act is Skills Development of section 11(1) of the Skills commenced as the
hereby amended by the Levies Act Development Levies Act until amendment relates only to
substitution for subsection (1) of amended as follows by section 23 interest and the wording of
the following subsection: of the Tax Administration Laws the section prior to
Amendment Act 33 of 2019 amendment continued to
“If an employer fails to pay a
pending its substitution by apply until 13 January
levy or any portion thereof on
paragraph 152(a): 2020 when section 23 of
the last day for payment
the Tax Administration
thereof, as contemplated in “If an employer fails to pay a levy
Laws Amendment Act 33
section 6(2) or 7(4), interest is or any portion thereof on the last
of 2019 amended the
payable on the outstanding day for payment thereof, as
section until the
amount [at the rate contemplated in section 6[(2)](1),
commencement of
contemplated paragraph (b) (1A) or 7(4), interest is payable on
paragraph 152(a).
of the definition of the outstanding amount at the
‘prescribed rate’ in section 1 rate contemplated in paragraph
of the Income Tax Act, (b) of the definition of ‘‘prescribed
calculated from the day rate’’ in section 1 of the Income
following that last day for Tax Act, calculated from the day
payment to the day that following that last day for payment
payment is received by the to the day that payment is
Commissioner, SETA or received by the Commissioner,
approved body, as the case
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
may be] in accordance with the SETA or approved body, as the
provisions of Chapter 12 of the case may be.”
Tax Administration Act.”
30. Paragraph 152(b) Section 11 of the Skills Section 11(2) of the No change to current wording of Paragraph 152(b) has not
Development Levies Act is Skills Development section 11(2) of the Skills commenced as the
hereby amended by the Levies Act Development Levies Act. deleted section relates
deletion of subsection (2). only to interest and
continues to apply.
31. Paragraph 154 Section 13 of the Skills Section 13(d) of the Section 13(d) of the Skills Paragraph 154 has
Development Levies Act is Skills Development Development Levies Act and partially commenced to
hereby repealed. Levies Act read with section 13(iii) not repealed to the the extent that the majority
section 13(iii) extent that they relate to interest. of the deleted section
does not relate to interest
and has been repealed.
However, section 13(d)
read with section 13(iii)
makes provisions of the
Income Tax Act applicable
to skills development
levies, which includes
sections 88(5) to (7) of the
Income Tax Act which
relates only to interest.
Paragraph 154 has
consequently not
commenced to the extent
that that it deletes this
reference, which
continues to apply.
Unemployment Insurance Contributions Act 4 of 2002
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
32. Paragraph 162 Section 12 of the Section 12 of the Section 12 of the Unemployment Paragraph 162 has not
Unemployment Insurance Unemployment Insurance Contributions Act not commenced as the
Contributions Act is hereby Insurance repealed. repealed section relates
repealed. Contributions Act only to interest and
continues to apply.
33. Paragraph 163(b) Section 13 of the Section 13(3)(b)(i) of Section 13(3)(b)(i) of the Paragraph 163(b) partially
Unemployment Insurance the Unemployment Unemployment Insurance commenced to the extent
Contributions Act, 2002, is Insurance Contributions Act not deleted. that sections 13(2), 13(4)
hereby amended by the Contributions Act and the majority of
deletion of subsections (2), (3) section 13(3) of the
and (4). Unemployment Insurance
Contributions Act do not
relate to interest and have
been repealed. It has not
commenced to the extent
that section 13(3)(b)(i) of
the Unemployment
Insurance Contributions
Act relates only to interest
and continues to do so as
provided for in
section 270(6E) of the TA
Act.
34. Paragraph 164 Section 14 of the Section 14 of the Section 14(1)(c) and Paragraph 164 has
Unemployment Insurance Unemployment section 14(2)(d) of the partially commenced to
Contributions Act is hereby Insurance Unemployment Insurance the extent that the majority
repealed. Contributions Act Contributions Act not repealed to of the deleted section
the extent that they relate to does not relate to interest
interest. and has been repealed.
However, section 14(1)(c)
of the Unemployment
Insurance Contributions
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
Act read with
section 14(2)(d) of the
Unemployment Insurance
Contributions Act makes
provisions of the Income
Tax Act applicable to
unemployment insurance
contributions, which
includes sections 88(5) to
(7) of the Income Tax Act
which relates only to
interest. Paragraph 164
has consequently not
commenced to the extent
that that it deletes this
reference, which
continues to apply.
Diamond Export Levy (Administration) Act 14 of 2007
35. Paragraph 169 Sections 10, 11, 12, 13, 14 and Section 15 of the Section 15 of the Diamond Export Paragraph 169 partially
15 of the Diamond Export Levy Diamond Export Levy (Administration) Act not commenced to the extent
(Administration) Act are hereby Levy (Administration) repealed. that sections 10 to 14 of
repealed. Act the Diamond Export Levy
(Administration) Act do not
relate to interest and have
been repealed. It has not
commenced to the extent
that it repeals section 15
of the Diamond Export
Levy (Administration) Act
which relates only to
interest and continue to
apply.
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
Securities Transfer Tax Administration Act 26 of 2007
36. Paragraph 175 Sections 5, 6 and 7 of the Section 5 of the Section 5 of the Securities Paragraph 175 partially
Securities Transfer Tax Securities Transfer Transfer Tax Administration Act commenced to the extent
Administration Act are hereby Tax Administration not repealed. that sections 6 and 7 of
repealed. Act the Securities Transfer
Tax Administration Act do
not relate to interest and
have been repealed. It has
not commenced to the
extent that it repeals
section 5 of the Securities
Transfer Tax
Administration Act which
relates only to interest and
continues to apply.
37. Paragraph 176 The Securities Transfer Tax Section 8 of the Section 8 of the Securities Paragraph 176 partially
Administration Act is hereby Securities Transfer Transfer Tax Administration Act commenced to the extent
amended by the substitution for Tax Administration not amended to the extent that it that the amendment
section 8 of the following Act relates to interest. relates to penalties, which
section: are now payable under
Chapters 15 and 16 of the
“Interest on overdue
TA Act. It has not
payments and penalty on
commenced to the extent
default recoverable from
that the wording of the
person to whom security is
section prior to
transferred.—(1) In the case of
amendment relates to
a listed security, a member or
interest, which wording
participant may recover the
continues to apply.
amount of [the] interest
[referred to in section 5,
penalty on default referred to
in section 6 or the] or penalty
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
[in the case of evasion
referred to in section 7]
payable by that member or
participant [in terms of this
Act] under the Tax
Administration Act from the
person—
(a) to whom a listed security is
transferred; or
(b) who cancels or redeems a
listed security,
to the extent that the action or
inaction of that person resulted
in the interest or penalty.
(2) In the case of an unlisted
security, the company which
issued that security may
recover the amount of [the]
interest [referred to in
section 5, penalty on default
referred to in section 6 or the]
or penalty [in the case of
evasion referred to in
section 7] payable by that
company [in terms of this Act]
under the Tax Administration
Act from the person to whom
that security was transferred, to
the extent that the action or
inaction of that person resulted
in the interest or penalty.”
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
38. Paragraph 177 Sections 9, 10, 11, 12, 14, 15, Section 18(2)(a) of Section 18(2)(a) of the Securities Paragraph 177 partially
16, 17, 18 and 19 of the the Securities Transfer Tax Administration Act commenced to the extent
Securities Transfer Tax Transfer Tax not repealed to the extent that it that sections 9, 10, 11, 12,
Administration Act are hereby Administration Act relates to interest 14, 15, 16, 17, 19 and the
repealed. majority of section 18 of
the Securities Transfer
Tax Administration Act do
not relate to interest and
have been repealed.
However, section 18(2)(a)
of the Securities Transfer
Tax Administration Act
makes Part III of
Chapter III of the Income
Tax Act applicable to
transfer duty and this Part
includes section 88(5) to
(7) of the Income Tax Act
which relates only to
interest. The paragraph
has consequently not
commenced to the extent
that that it deletes this
reference, which
continues to apply.
Mineral and Petroleum Resources Royalty (Administration) (MPRRA) Act 29 of 2008
39. Paragraph 189 Sections 10, 11, 12, 13 and 16 Section 16 of the Section 16 of the MPRRA Act not Paragraph 189 partially
of the Mineral and Petroleum MPRRA Act repealed but amended for years commenced to the extent
Resources Royalty of assessment commencing on or that sections 10 to 13 of
(Administration) Act are hereby after on or after 1 January 2017 the MPRRA Act do not
repealed. by section 44 read with section 65 relate to interest and have
of the Tax Administration Laws been repealed. It has not
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
Amendment Act 16 of 2016 as commenced to the extent
follows: that it repeals section 16
Paragraph 189 was further
of the MPRRA Act which
amended by section 65 of the “(1) The Commissioner must pay
relates only to interest and
Tax Administration Laws interest [calculated on a
continued to apply.
Amendment Act 16 of 2016 as monthly
However, it applied only
follows:
basis] in accordance with the until section 44 of the Tax
Sections 10, 11, 12[,] and 13 provisions contained in Administration Laws
[and 16] of the Mineral and Chapter 12 of the Tax Amendment Act 16 of
Petroleum Resources Royalty Administration Act in respect of 2016 amended the section
(Administration) Act are hereby overpayment of an amount [or for years of assessment
repealed. royalty] paid to the extent that commencing on or after
that amount exceeds— 1 January 2017.
(a) in the case where that
amount was paid in respect
of a notice of assessment,
the amount so assessed; or
(b) in any other case, the amount
of royalty properly chargeable
under the Royalty Act[,
if that excess is not refunded
within 30 days after the later
of—
(i) the date which is six
months after the last
day of a year of
assessment in respect
of which the royalty
giving rise to that
excess is required to
be paid as mentioned
in section 6; or
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
(ii) the date of receipt of a
refund claim
mentioned in
section 13 in respect
of that excess].
(2) A registered person must pay
interest [calculated on a
monthly basis] in accordance
with the provisions contained in
Chapter 12 of the Tax
Administration Act—
(a) in respect of so much of the
[estimated] amount that
must be paid [as mentioned]
in terms of section 5(1) or (2),
5A or 6 as is not paid on the
day by which that payment
was required to be made [in
respect of the six months
after the first day that that
estimated payment is due]
under this Act; and
[(b) in respect of so much of
the estimated amount that
must be paid as mentioned
in section 5(2) as is not
paid on the day by which
that payment was required
to be made in respect of
the six months after the
first day that that estimated
payment is due; or]
Schedule 1
Wording of Schedule 1 Affected provision
No. provisions not Effect on tax Act provision Explanatory notes
provisions of tax Act
commenced
(c) in respect of so much of the
amount that must be paid [as
mentioned in section 6]
under an additional
assessment issued by the
Commissioner, other than an
additional assessment under
section 5A, as is not paid on
the day by which that
payment was required to be
made [in respect of any
period after the first day
that that payment is due].”
Subsection (3) deleted.
Diamond Export Levy Act, 2007
