Browsing by Author "Van Zyl, Linda"

Now showing 1 - 2 of 2
  • Thumbnail Image
    Item
    Relevant factors for the suspension of the payment of disputed tax - a comparative analysis
    (AOSIS Publishing, 2016) Van Zyl, Linda; Van Wyk, Danielle
    Section 164(3) of the Tax Administration Act No. 28 of 2011 gives a senior SARS official the discretion to suspend the payment of disputed tax or a portion thereof, having regard to relevant factors. Limited guidance is available in this regard. The objectives are to establish the concerns and uncertainties regarding the relevant factors and to determine whether a ‘suspension of the payment of disputed tax’ in terms of section 164(3) constitutes the granting of ‘credit’ in terms of a ‘credit agreement’ in terms of the National Credit Act, Act No. 34 of 2005. This is achieved by adopting an explanatory research approach and performing a literature review and comparative analysis respectively. The conclusion is reached that the current factors listed are not necessarily the most relevant ones. Recommendations are made to simplify the process and to revise and improve the wording regarding the relevant factors.
  • Thumbnail Image
    Item
    Section 24C : indicators regarding the certainty of the incurral of future expenditure
    (AOSIS Publishing, 2016) Calitz, Lizelle; Van Zyl, Linda
    Section 24C of the Income Tax Act No. 58 of 1962 provides for a deduction of future expenditure that will be incurred by the taxpayer in the performance of his obligations under a contract from which the taxpayer derived income. The objective of this article is to compile a list of indicators demonstrating when there will be certainty that future expenditure will be incurred as aforementioned. The conclusion reached is that a definite connection must exist between the incurral of the future expenditure and the obligation to perform under the contract. Further, conditions and warranties are contractual terms that indicate that there is uncertainty regarding the taxpayer’s obligations to perform under the contract. A time clause in a contract and a high probability that the taxpayer will perform an unconditional obligation under a contract, however, both indicate that there is certainty regarding the incurral of future expenditure. A contingent liability to pay for future expenditure or if the future expenditure is unquantified are not indicators as to whether there is certainty that the future expenditure will be incurred.