| (1) |
An "arrangement" is an excluded "arrangement" if it is— |
| (a) |
a debt in terms of which— |
| (i) |
the borrower receives or will receive an amount of cash and agrees to repay at least the same amount of cash to the lender at a determinable future date; or |
| (ii) |
the borrower receives or will receive a fungible asset and agrees to return an asset of the same kind and of the same or equivalent quantity and quality to the lender at a determinable future date; |
[Section 36(1)(a) substituted by section 46 of the Tax Administration Laws Amendment Act, 2012 (Act No. 21 of 2012)]
| (c) |
a transaction undertaken through an exchange regulated in terms of the Financial Markets Act, 2012 (Act No. 19 of 2012); or |
[Section 36(1)(c) substituted by section 40 of the Tax Administration Laws Amendment Act, 2015 (Act No. 23 of 2015)]
| (d) |
a transaction in participatory interests in a scheme regulated in terms of the Collective Investment Schemes Control Act, 2002 (Act No. 45 of 2002). |
| (2) |
Subsection (1) applies only to an "arrangement" that— |
| (a) |
is undertaken on a stand-alone basis and is not directly or indirectly connected to any other "arrangement" (whether entered into between the same or different parties); or |
| (b) |
would have qualified as having been undertaken on a stand-alone basis as required by paragraph (a), were it not for a connected "arrangement" that is entered into for the sole purpose of providing security and if no "tax benefit" is obtained or enhanced by virtue of the security "arrangement". |
| (3) |
Subsection (1) does not apply to an "arrangement" that is entered into— |
| (a) |
with the main purpose or one of its main purposes of obtaining or enhancing a "tax benefit"; or |
| (b) |
in a specific manner or form that enhances or will enhance a "tax benefit". |
[Section 36(4) substituted by section 42(1) of Act No. 44 of 2014]
Older Persons Act, 2006
