CHAPTER 75:01 - Inland Revenue Division

Income Tax Act Mac 1
Vol. 1
58 (2) Where, for a year of income, an individual elects that subsection (1)
should not apply to interest , payable to him and furnishes to the Board a
certificate or certificates obtained by him under subsection (6) in respect
of all of the interest, and amount deducted therefrom, the tax charged by
subsection (1) upon interest does not apply and the interest, shall be
treated as income for that year of income. Finance Act, 1989
Finance Act, 1995
Finance Act, 1996
59 (2A) Except where the interest is exempt from tax under section 8 (1)
(p), every bank, financial institution or other person referred to in
subsection (1) shall, at the time when the interest , accrues or is paid or
credited, deduct from the interest, an amount equal to five per cent of that
interest, and the amount deducted shall, on or before the ten day of the
month following that in which the amount was deducted, be remitted to
the Board on behalf of the individual on account of the liability of the
individual to tax. Finance Act, 1989
Finance Act, 1995
Finance Act, 1996
Finance Act, 1997
Act 91of 2000*
(3) Deleted by Finance Act, 1991
Finance Act, 1997
60 (4) Any person referred to in subsection (2A) who fails to deduct the
amount or remit the amount to the Board within the time required by that
subsection, commits an offence and, in addition to any. other penalty
provided for in this Act, is liable to pay together with the amount, interest
at the rate of fifteen per cent per annum on such amount.
Amended/Deleted by Finance Act, 1989
and by Act 25 of 1992
(5) Deleted
Amended/Deleted by Finance Act, 1989
Finance Act 1997
61 (5A) Repealed Finance Act 1995
(6) A bank, financial institution or other person having deducted an
amount under subsection (2A) from the interest, payable to an individual
*Effective 1 st January 2001
58 BIR Note: Effective 8th May 1996
59 BIR Note: Effective 8th May 1996
*Effective 1 st January 2001
60 BIR Note: Effective 1st January, 1993
61 BIR Note: Effective 8th May, 1996
BIR Mac Edition 91/01 Page 61