The General Meaning of
"extenuating circumstances” for The Purposes of Section 76(2)(a) of the Income
The additional tax (referred to as
a "penalty” by the judiciary), which may be imposed in terms of section76(1) of
the Income Tax Act ("the Act”) when a taxpayer is in default, can be very harsh
(Up to 200% of the tax correctly chargeable). The Commissioner may remit any
penalty imposed as he sees fit. However, when there was intent on the part of
the taxpayer to evade the payment of tax, the Commissioner may not remit the
200% penalty, unless he is of the opinion that there are "extenuating
circumstances”. This article examines the general meaning, as interpreted by the
courts, of the "extenuating circumstances” that may be taken into account for
the purposes of remission of penalties in terms of section 76(2)(a) of the
Remission of penalties, Extenuating circumstances, Mitigating circumstances
Section 240A of the Tax Administration Act, 2011 (as amended) requires that all tax practitioners register with a recognized controlling body before 1 July 2013. It is a criminal offense to not register with both a recognized controlling body and SARS.
MINIMUM REQUIREMENTS TO REGISTER
The Act requires that a minimum academic and practical requirments be set to register with a controlling body. Click here for the minimum requirements of SAIT.