Pear (Proprietary) Limited v Commissioner for the South African Revenue Service (IT 46080)
Pear (Proprietary) Limited v Commissioner for the South African Revenue Service (IT 46080) [2024] ZATC 19 (5 December 2024)
The court held that SARS was not entitled to issue the additional assessment for the 2017 tax year, as the three-year prescription period under section 99(1) of the Tax Administration Act had expired. SARS failed to discharge the onus of proving that any misrepresentation or non-disclosure by the Appellant caused the non-assessment of the full amount of tax within the prescribed period. The Appellant's tax return and subsequent correspondence disclosed the nature of the insurance premium and policy, and SARS's own verification process did not result in an adjustment within the three-year peri…
Source excerpt
- Income Tax Assessment
- Prescription Of Tax Debt
- Insurance Premium Deductibility
- Ifrs Accounting Treatment
- Understatement Penalty