Interpretation Notes - Numbers 61-80

Interpretation Notes are intended to provide guidelines to stakeholders (both internal and external) on the interpretation and application of the provisions of the legislation administered by the Commissioner.
These Notes will ultimately replace the existing General Notes and Practice Notes, as well as internal Circular Minutes, to the extent that they relate to the interpretation of the various laws. The Notes will be amended when necessary in line with policy developments and changes in legislation.​
The groups of Interpretation Notes can be accessed from here or on the navigation pane above:


​Number ​Subject ​Applicable Legislation ​
IN 61 ​Remission of interest ​Value-Added Tax Act, 1991 ​Section 39(7)(a)
IN 62 ​Broad-based employee share plan ​Income Tax Act, 1962 ​Sections 8B, 10(1)(nC) and 11(lA)

IN 63 
(Issue 2)

​Rules for the translation of amounts measured in foreign currencies other than exchange differences governed by section 24I and the Eighth Schedule

​​Income Tax Act, 1962 ​Sections 1(1), 6quat(4) and (4A), 6quin(4), 9A, 9D(6), 25D, 35A(5), 47J, 49H, 50H, 51H and 64N(4)
(Issue 4)
​Income tax exemption: Bodies Corporate, Share Block Companies and Associations of persons managing the collective interests comment to all members Income Tax Act, 1962​ Section 10(1)(e)​

IN ​65
(Issue 3)

​Trading stock - Inclusion in income when applied, distributed or disposed of otherwise than in the ordinary course of

​​Income Tax Act, 1962 ​Section 22(8)
IN ​66 ​Scholarships or bursaries ​​Income Tax Act, 1962 ​Section 10(1)(q) and the Seventh Schedule
IN ​67
(Issue 4)
​Connected persons  Income Tax Act, 1962​ Section 1(1) – definition of "connected person"​
IN ​68 (Issue 2)  ​Provisions of the Tax Administration Act, 2011, that did not commence on 1 October 2012 under Proclamation No. 51 ​​Tax Administration Act, 2011 ​Chapter 12 and Schedule 1​
IN 69
(Issue 2)
​Game farming ​Income Tax Act, 1962 Sections 9HA, 25, 25C, 26 and First Schedule
IN 70 ​Supplies made for no consideration Value-Added Tax Act, 1991​
​Section 1 – definitions of 'enterprise', 'taxable supply', 'input tax', 'donation' and consideration, section 10(4) and
IN 71​ ​Long service awards ​Income Tax Act, 1962
​Paragraphs 2(a),
5(2)(b) and 5(4) of the Seventh Schedule
IN 72 ​Right of use of motor vehicle Income Tax Act, 1962​ ​Paragraph 7 of the Seventh Schedule

​IN 73
(Issue 3)

​Tax implications of rental income from tank containers Income Tax Act, 1962​​ ​Sections 11(a), 11(e), 20(1), 23A and 25D

​IN 74
(Issue 2)

​Deduction and recoupment of expenditure on repairs ​Income Tax Act, 1962 ​Sections 11(d) and
IN 75
(Issue 3)
​Exclusion of certain companies and shares from a "group of companies" as defined in section 41(1) Income Tax Act, 1962​ Sections 1 and 41(1)​
IN 76


​Tax treatment of tips for recipients, employers and patrons


​Income Tax Act, 1962

Section1(1) – definition of the term "gross income"

Fourth Schedule - paragraph 1 definitions of "remuneration", "employer", "employee", "provisional taxpayer"; paragraph 2(1)​

IN 77


​Taxable benefit: Use of employer-provided telephone or computer equipment or employer-funded telecommunication services ​Income Tax Act, 1962

Paragraph 2(b), (e) and (h); Paragraphs 6, 10 and 31(1) of the Seventh Schedule​

IN 78


​Allowance for future expenditure on contracts Income Tax Act, 1962​ Section 24C​

​IN 79 
(Issue 2)


​Produce held by nursery operators

Issue 1 of this Note replaced Practice Note 32 dated 7 October 1994
Income Tax Act, 1962​​

Sections 9A, 25, 25C and 26 and Paragraphs 2, 3, 4 and 9 of the First Schedule

IN 80

​The income tax treatment of stolen money

​Income Tax Act, 1962​​

Sections 11(a) and (c), 23 (c) and (g) and 
1(1) – definition of "gross income"​









Last Updated: 11/02/2020 3:13 PM     print this page
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