Relevant factors for the suspension of the payment of disputed tax - A comparative analysis

Relevant factors for the suspension of the payment of disputed tax - A comparative analysis

Linda van Zyl, Danielle van Wyk

Section 164(3) of the Tax Administration Act No. 28 of 2011 gives a senior SARS official the discretion to suspend the payment of disputed tax or a portion thereof, having regard to relevant factors. Limited guidance is available in this regard. The objectives are to establish the concerns and uncertainties regarding the relevant factors and to determine whether a ‘suspension of the payment of disputed tax’ in terms of section 164(3) constitutes the granting of ‘credit’ in terms of a ‘credit agreement’ in terms of the National Credit Act, Act No. 34 of 2005. This is achieved by adopting an explanatory research approach and performing a literature review and comparative analysis respectively. The conclusion is reached that the current factors listed are not necessarily the most relevant ones. Recommendations are made to simplify the process and to revise and improve the wording regarding the relevant factors.

2016

Section 164(3) of the Tax Administration Act No. 28 of 2011, National Credit Act, Act No. 34 of 2005, Request, suspend, Relevant Factors, defer, payment, credit

DOI: 10.4102/jef.v9i2.59

Journal of Economic and Financial Sciences

African Online Scientific Information Systems

Economics as a science

EN