Supreme Court of Appeal: 2016-2014

The judgments delivered in the Supreme Court of Appeal (SCA) on this page are arranged per year and then per date of delivery. SCA judgments delivered in another year, can be accessed through the navigation pane above.


2016 ​ ​

Date of Delivery​Parties Involved​Applicable Legislation​Keywords
​3 October 2016Marshall AG & Others​Value-Added Tax Act, 1991​Value-Added Tax (VAT) Act 89 of 1991: whether actual supply of goods and services by a designated entity to a public authority and a “deemed” supply of services under section 8(5) of the VAT Act; whether payment received by a designated entity from a public authority in respect of such supply is zero-rated under section 11(2)(n) of the VAT Act; section 8(5) of the VAT Act does not apply to actual supply of services; payment received is not zero-rated under section 11(2)(n).
​3 October 2016 XO Africa Safaris CC​Value-Added Tax Act, 1991​Value-Added Tax (VAT) Act 89 of 1991: local company assembling package tours for foreign tour operators and individuals; whether supply of services attracting VAT at standard rate or whether zero rated in terms of section 11(2)(l) of VAT Act; services supplied to person not a resident of the Republic but supplied directly to other persons who were in the Republic at the time the services were rendered; VAT payable at standard rate.
​29 September 2016Van der Merwe LDR & Others​Customs & Excise Act, 1964​Customs and Excise Act 91 of 1964: sections 20(4), 38, 39 and 114 do not create an embargo in favour of the Commissioner preventing a liquidator from taking possession of property in terms of the Insolvency Act 24 of 1936 until duty and VAT is paid.
​22 September 2016Marula Platinum Mines LimitedIncome Tax Act, 1962​Income Tax Act 58 of 1962: Interpretation of section 23F(2) of the Income Tax Act, read with the definition of “trading stock” in section 1 of the Income Tax Act and the application thereof to the respondent’s business operations; such operations involving a manufacturing process; respondent excluded unquantified sales of concentrate from its gross income under section 24M of the Income Tax Act;  Commissioner entitled to invoke section 23F(2) of the Income Tax Act by disallowing a percentage of the section 11(a) deductions claimed by respondent.​
​1 September 2016​Martin Fraser Wingate-Pearse​Tax Administration Act, 2011​Appeal from Tax Court – section 133(1) of Tax Administration Act 28 of 2011; only decisions under sections 129 and 130 appealable; interlocutory ruling on onus and duty to begin not a decision in terms of section 129(1) and (2); ruling not appealable.
​1 June 2016Dr HC Avenant​Income Tax Act, 1962​Income Tax 58 of 1962: Closing stock – Paragraphs 2, 3(1), 4(1) and 9 of the First Schedule to the Income Tax Act 58 of 1962. Whether the appellant, who had delivered harvested grapes to Namaqua Wines Limited between the beginning of February 2009 and 28 February 2009 was obliged to include in his income an amount representing the value, if any, of what was in the process being made into wine by Namaqua at midnight on 28 February 2009, on the basis that such pulp constituted ‘produce held and not disposed of by him’ and if so whether the amount of R789 338 included in the appellant’s 2009 income by the respondent was a fair and reasonable value.
​1 April 2016Coltrade International CC​Customs & Excise Act, 1964​Customs & Excise Act; Whether or not coconut milk, coconut cream and coconut powder fall to be classified under tariff heading 2008.19
​1 March 2016Kluh Investments (Pty) Ltd​Income Tax Act, 1962​Income Tax; whether taxpayer  conducting farming operations for the purpose of section 26 of the Income Tax Act 58 of 1962 read with paragraph 14 of the First Schedule to the Act
​​9 February 2016Capstone 556 (Pty) Ltd​Income Tax Act, 1962​​Income tax; whether proceeds of sale of shares revenue or a receipt of a capital nature; dominant purpose of acquisition of shares long term capital investment to rescue a distressed business; at time of acquisition sale of shares at a profit contemplated only as one of several possibilities to be explored at the appropriate time in future; subsequent sale of shares unsolicited and fortuitous; proceeds a receipt of a capital nature; cross-appeal; calculation of base cost for capital gains tax purposes; inclusion of indemnity payment; Paragraph 20(1)(a) of Eighth Schedule
2015 ​
Date of Delivery​Parties Involved​Applicable Legislation​Keywords
​​30 November 2015Anglo Platinum Management Services (Pty) Ltd​Income Tax Act, 1962​​Salary sacrifice

​30 September 2015


Stephney Investments​Income Tax Act, 1962​​Eighth Schedule; determination of base cost of shares for CGT; 4,37% of shares disposed of; market value of shares on valuation date to be determined; whether discount cash-flow valuation method was appropriately applied by taxpayer
​20 August 2015 Mark Krok (and Jucool Enterprises Inc)​Tax Administration Act, 2011​Double taxation; preservation order granted in respect of a taxpayer’s assets under s185 and section 163, read with article 25A of the Australia Protocol amending the RSA-Australia DTA

​1 June 2015

Miles Plant Hire (Pty) Ltd ​Tax Administration Act, 2011Lapsed appeal (against final order of winding-up); application for condonation; cumulative effect of flagrant breaches of the rules of the SCA without any acceptable explanation; respondent’s interest in the finality of the judgment and the evident prejudice to respondent and body of creditors such that condonation should be refused irrespective of the prospects of success on appeal; condonation refused
​28 May 2015Candice-Jean van der Merwe​Tax Administration Act, 2011

​Appeal lapsing; application for condonation; breaches of the rules of such a nature and explanation offered so unacceptable and wanting that condonation refused irrespective of the applicant’s prospects of success on appeal; section 163; appointment of a curator bonis

Notes for clarity:

Both parties have appealed and Van der Merwe’s appeal lapsed and SARS’s appeal was upheld

Van der Merwe to appeal to this court against the grant by the High Court of the preservation order

SARS to cross-appeal against the failure of the High Court to appoint the curator sought by it

​27 May 2015Medox Limited ​Income Tax Act, 1962​Taxpayer failing to object to income tax assessments issued by the Commissioner; absent any objection, the assessments became final and conclusive by virtue of the provisions of section 81(5); taxpayer not entitled to relief by means of declaratory order to have assessments set aside; appeal dismissed
2014 ​ ​
Date of Delivery​Parties Involved​Applicable Legislation​Keywords
​19 November 2014

Bosch, M 

(from Foschini Group Schemes)
​Income Tax Act, 1962

​Share option schemes under s.8A(1)(a)

Employees given option to purchase shares; option to be exercised within 21 days; payment for and delivery of shares to occur in tranches two, four and six years later; whether date of exercise of option or date of payment for and receipt of shares the date for determining any gain to be included in the taxpayer’s income; whether contract arising  from exercise of option conditional; whether contracts between employees and trust administering scheme simulated transactions

​21 October 2014Porritt & Another v The NDPP & Others 

Constitution, 1996

​Criminal Procedure Act, 1977

​Plea in terms of s.106(1)(h) of Criminal Procedure Act, 1977 (CPA) relating to title of prosecutor

Removal of prosecutor; apprehension of bias not founded on s.106(1)(h), but on s.35(3) of Constitution; roles of prosecutor and magistrate cannot be equated; removal of one of two prosecutors does not entitle accused to demand acquittal in terms of s.106(4); not axiomatic that perception of bias held against prosecutor will lead to accused not having fair trial; s.319(1), read with s.322(1) of the CPA intended to allow State right of appeal on question of law

​12 June 2014

​​Pretoria East Motors (Pty) Ltd

​Income Tax Act, 1962

Value-Added Tax Act, 1991

​Revenue; assessment to additional income tax and VAT; appeal against dismissal of objection by taxpayer; onus of proof; evidence; sufficiency of to discharge onus 

​23 May 2014Terraplas South Africa (Pty) Ltd ​Customs & Excise Act, 1964​Section 47(9)(e); import duty; approach to tariff classification; prior decisions revisited and applied; plastic interlocking tiles for protection of turf surfaces in stadia not a floor covering contemplated in specific tariff heading; novelty of article not a consideration in interpretation exercise
​​28 March 2014GB Mining and Exploration SA (Pty) Ltd ​Income Tax Act, 1962​​Revised assessment; payments as part of attempted financial rescue offer not deductible; disposal of rights to a mineral tailings dump by appellant resulted in a capital gain; travel expenditure partially deductible; disposal of an asset to a joint venture resulted in a capital gain; partial remission of additional tax granted 
​14 March 2014MTN International (Mauritius) Ltd  ​Income Tax Act, 1962​​Revised assessment; not invalid by reason of error in fixing of due date
​​7 March 2014Mobile Telephone Networks Holdings (Pty) Ltd (MTN)​Income Tax Act, 1962​​Section 11(a) read with ss 23(f) and (g); apportionment of audit fees incurred for a dual or mixed purpose

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