Protection of Businesses Act, 1978
R 385
Value-Added Tax Act, 1991 (Act No. 89 of 1991)Part X : Miscellaneous72. Decisions to overcome difficulties, anomalies or incongruities |
[Section 72 Heading substituted by section 73(1) of the Taxation Laws Amendment Act, 2019 (Act No. 34 of 2019), Notice No. 21, GG42951, dated 15 January 2020]
| (1) | If in any case the Commissioner is satisfied that in consequence of the manner in which any vendor or class of vendors conducts his, her or their business, trade or occupation, difficulties, anomalies or incongruities have arisen or may arise in regard to the application of any of the provisions of this Act and similar difficulties, anomalies or incongruities have arisen or may arise for any other vendor or class of vendors of the same kind or who make similar supplies of goods or services, the Commissioner may make a decision as to— |
| (a) | the manner in which such provisions shall be applied; or |
| (b) | the calculation or payment of tax provided in this Act, |
in the case of such vendor or class of vendors or any person transacting with such vendor or class of vendors as appears to overcome such difficulties, anomalies or incongruity: Provided that such decision shall not—
| (i) | have the effect of reducing or increasing the liability for tax levied under this Act; or |
| (ii) | be contrary to the construct and policy intent of this Act as a whole or any specific provision in this Act. |
[Section 72(1) substituted by section 73(1) of the Taxation Laws Amendment Act, 2019 (Act No. 34 of 2019), GG42951, dated 15 January 2020 - deemed to have come into operation on 21 July 2019 and applies in respect of all applications made on or after that date(Section 73(2)]
| (2) | Sections 75, 81, 83, 84, 85, 86, 87, 89 and 90 of the Tax Administration Act apply mutatis mutandis to a decision under subsection (1) and for this purpose the definitions of a ‘binding class ruling’ and a ‘binding private ruling’ are not limited to a ‘proposed transaction’. |
[Section 72(2) substituted by section 73(1) of the Taxation Laws Amendment Act, 2019 (Act No. 34 of 2019), GG42951, dated 15 January 2020 - deemed to have come into operation on 21 July 2019 and applies in respect of all applications made on or after that date(Section 73(2)]
| (3) | The Commissioner may publish by public notice a list of transactions or matters in respect of which the Commissioner may decline to make a decision. |
[Section 72(3) substituted by section 73(1) of the Taxation Laws Amendment Act, 2019 (Act No. 34 of 2019), GG42951, dated 15 January 2020 - deemed to have come into operation on 21 July 2019 and applies in respect of all applications made on or after that date(Section 73(2)]
| (3) | An arrangement or decision made in terms of section 72 of the Value-Added Tax Act, 1991 (Act No. 89 of 1991), in respect of an application made before 21 July 2019 that— |
| (a) | ceases to be effective on or before 31 December 2021, may be reconfirmed by the Commissioner for the South African Revenue Service, on application by the vendor in whose favour the arrangement or decision was made: Provided that— |
| (i) | the effective period of the reconfirmed arrangement or decision may not extend beyond 31 December 2021; |
| (ii) | for purposes of the application to reconfirm such arrangement or decision, the wording of section 72 of the Value-Added Tax Act, 1991 (Act No. 89 of 1991), prior to the amendment in subsection (1) shall apply; |
| (iii) | the application to reconfirm such arrangement or decision must be received by the Commissioner no later than two months prior to the expiry date of such decision or, in exceptional circumstances, such other date acceptable to the Commissioner; and |
| (b) | ceases to be effective after 31 December 2021 or that does not specify an effective period, shall cease to be effective on 31 December 2021. |
[Section 72(3) inserted by section 73(3) of the Taxation Laws Amendment Act, 2019 (Act No. 34 of 2019), GG42951, dated 15 January 2020 - deemed to have come into operation 21 July 2019 (Section 73(6]
| (4) | An arrangement or decision made in terms of section 72 of the Value-Added Tax Act, 1991 (Act No. 89 of 1991), which constituted a binding general ruling and ceases to be effective on or after 21 July 2019 or does not specify an effective period, shall cease to be effective on 31 December 2021. |
[Section 72(4) inserted by section 73(3) of the Taxation Laws Amendment Act, 2019 (Act No. 34 of 2019), GG42951, dated 15 January 2020 - deemed to have come into operation 21 July 2019 (Section 73(6]
| (5) | The amendment in subsection (1) is deemed not to be a subsequent change in law for purposes of section 85 of the Tax Administration Act, 2011 (Act No. 28 of 2011), in respect of an arrangement or decision referred to in subsection (3) or (4). |
[Section 72(5) inserted by section 73(3) of the Taxation Laws Amendment Act, 2019 (Act No. 34 of 2019), GG42951, dated 15 January 2020 - deemed to have come into operation 21 July 2019 (Section 73(6)]
