Tax Administration Laws Amendment Bill, 2012 [B35 ... - Juta - Law

(c)(d)12income equal to 90 per cent of such actual taxable income;and(ii) the amount of normal tax calculated in respect of a taxableincome equal to such basic amount, at the rates applicable inrespect of such year of assessment,and the amount of employees’ tax and provisional tax in respect ofsuch year of assessment paid by the end of the year of assessment.’’;by the insertion of the following proviso to subparagraph (1) at the end of item(e):‘‘Provided that any retirement fund lump sum benefit, retirement fundlump sum withdrawal benefit or any severance benefit received by oraccrued to or to be received by or accrue to the taxpayer during therelevant year of assessment shall not be taken into account for purposesof this subparagraph;’’; andby the substitution for subparagraph (2) of the following paragraph:‘‘(2) Where the Commissioner is satisfied that the amount of anyestimate referred to in subparagraph (1)[(b)] was seriously calculatedwith due regard to the factors having a bearing thereon and was notdeliberately or negligently understated, or if the Commissioner is partlyso satisfied, the Commissioner may in his or her discretion remit thepenalty or a part thereof.’’.5101520Amendment of paragraph 20A of Fourth Schedule to Act 58 of 1962 as amended bysection 25 of Act 52 of 1970, section 45 of Act 88 of 1971, section 52 of Act 85 of 1974,section 40 of Act 121 of 1984, section 88 of Act 45 of 2003 and paragraph 92 ofSchedule 1 to Act 28 of 201124. Paragraph 20A of the Fourth Schedule to the Income Tax Act, 1962, is herebyamended—(a) by the substitution for subparagraph (1) of the following subparagraph:‘‘(1) Subject to the provisions of subparagraphs (2) and (3), where anyprovisional taxpayer is liable for the payment of normal tax in respect ofany amount of taxable income derived by that provisional taxpayerduring any year of assessment and the estimate of [his or her] thetaxpayer’s taxable income for that year required to be submitted by [himor her] the taxpayer under paragraph 19(1) during the period contemplatedin paragraph 21(1)(b), 22(1) or 23(b), as the case may be, was notsubmitted by [him or her] the taxpayer on or before the last day of thatyear the taxpayer shall, unless the Commissioner has estimated the saidtaxable income under paragraph 19(2) or has increased the amountthereof under paragraph 19(3), be required to pay to the Commissioner,in addition to the normal tax chargeable in respect of such taxableincome, a penalty, which is deemed to be a percentage based penaltyimposed under Chapter 15 of the Tax Administration Act, equal to 20 percent of the amount by which the normal tax payable by [him or her] thetaxpayer in respect of such taxable income exceeds the sum of anyamounts of provisional tax paid by [him or her] the taxpayer in respectof such taxable income within any period allowed for the payment ofsuch provisional tax under this Part and any amounts of employees’ taxdeducted or withheld from [his or her] the taxpayer’s remuneration by[his or her] the taxpayer’s employer during such year.’’.Amendment of paragraph 27 of Fourth Schedule to Act 58 of 1962 as amended bysection 43 of Act 121 of 1984, section 29 of Act 65 of 1986, section 48 of Act 32 of2004 and paragraph 95 of Schedule 1 to Act 28 of 201125303540455025. Paragraph 27 of the Fourth Schedule to the Income Tax Act, 1962, is herebyamended by the substitution for subparagraph (1) of the following subparagraph:‘‘(1) If any provisional taxpayer fails to pay any amount of provisional tax forwhich he or she is liable within the period allowed for payment thereof in terms ofparagraph 21 or 23, or paragraph 25(1), the Commissioner must, under Chapter 15of the Tax Administration Act, impose a penalty, which is deemed to be a55