| 1) |
The provisions of section 10(1)(cA) of the Income Tax Act do not apply in respect of the receipts and accruals of- |
| b) |
any association, corporation or company contemplated in paragraph (a) of the definition of "company" in section 1 of the Income Tax Act, a majority of the shares of which are held by Eskom, if the operations of such association, corporation or company are ancillary or complementary to the objects of Eskom contained in its Memorandum and Articles of Association referred to in section 6. |
| a) |
The Minister of Finance must, after consultation with the Minister and the Minister of Minerals and Energy, determine the tax values of the capital assets owned by Eskom and any company contemplated in subsection (1)(b) on 1 January 2000 for the purpose of calculating any wear and tear or depreciation allowance as contemplated in the Income Tax Act. |
| b) |
The assets contemplated in paragraph (a) are, for the purposes of sections 11(e) , 13C and 13 of the Income Tax Act, deemed to have been brought into use for the first time at a cost equal to the value determined in terms of paragraph (a). |
| 3) |
For the purposes of the Income Tax Act- |
| b) |
any subsidiary company of Eskom to which Eskom may transfer any asset, liability, right or obligation or any business of Eskom; and |
| c) |
Eskom Holdings Limited, |
are, subject to such adjustments as may be necessary, deemed to be one and the same entity.
| 4) |
No tax, duty or levy is payable in respect of the transfer of any asset from Eskom to any subsidiary company contemplated in subsection (3)(b). |
Statistics Act, 1999
