Exam (elaborations)
TAX2601 Assignment 1 Semester 1 2023
- Institution
- University Of South Africa
TAX2601 Assignment 1 Semester 1 2023 TAX2601 Assignment 1 Semester 1 2023 TAX2601 Assignment 1 Semester 1 2023
[Show more]
Content preview
TAX2601 Assignment1 Semester 1 2023
Contact:
@ TestbanksNotesAssignmentsAndExamspack
sGuru
+254742508812, +254727097655.
rom400eezy@gmail.com
, Reference: Study Guide 1 PG 12
Dividends received by individuals from South African companies are generally exempt
from income tax, but dividends tax at a rate of 20% is withheld by the entities paying the
dividends to the individuals.
Income tax, among others includes
capital gains tax
turnover tax
dividends tax
2. 4
Reference: Study Guide 1 PG 27
When a provision is introduced to the Income Tax Act for the first time, it is usually
discussed in an explanatory memorandum. This explanation will generally give the
intention for introducing the provision, which, in turn, will indicate the intention of the
legislator. The purpose behind the words must after all be determined.
Apply the contra fiscum rule. According to this rule, where a provision of the Income Tax
Act has two interpretations, the court will interpret the provision in terms of the interpre-
tation that places the smaller burden on the taxpayer.
3. 2
© CTM Tutoring All rights reserved
ctm.tutoring@gmail.com +27655053119
, Reference: Study Guide PG 17
4. 4
Reference: Study Guide PG 18
The taxation rules (commonly referred to as provisions) contained in the Income Tax Act
are not always clear and straightforward. In practice, this often results in different
interpretations by SARS, taxpayers, accountants and the public. Because of these
differences of opinion and grey areas in the Act, the courts are often called upon to
determine what the real intention of the legislature was when the provisions were
enacted.
SARS, as the administrator of the Income Tax Act, also issues binding general rulings,
interpretation notes and practice notes on certain of these taxation rules in order to
provide taxpayers with clarity and guidance. The need for interpretation will only arise
when a provision in the Income Tax Act is not clear.
5. 3
© CTM Tutoring All rights reserved
ctm.tutoring@gmail.com +27655053119
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through EFT, credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying this summary from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller TestbanksNotesAssignmentsAndExampacksGuru. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy this summary for R46,41. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
75759 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy summaries for 14 years now