Absa Bank Limited and Another v Commissioner for the South African Revenue Service (2019/21825 [P])
Absa Bank Limited and Another v Commissioner for the South African Revenue Service (2019/21825 [P]) [2021] ZAGPPHC 183 (1 March 2021)
The High Court held that the refusal by SARS to withdraw the section 80J notices and the subsequent issue of letters of assessment were reviewable under the principle of legality, as the dispute was a pure point of law and exceptional circumstances existed. The court found that Absa was not a 'party' to the impermissible tax avoidance arrangement as defined by the Income Tax Act, since it did not participate with knowledge or intention in the broader scheme involving intermediary entities and offshore transactions. The factual premise relied upon by SARS—that Absa was ignorant of the intermed…
Source excerpt
- Impermissible Tax Avoidance
- General Anti Avoidance Rule
- Review Of Administrative Action
- Principle Of Legality
- Exceptional Circumstances
- Tax Assessment Withdrawal