| (1) |
An assessment may not be made in terms of this Chapter— |
| (b) |
in the case of self-assessment for which a return is required, five years after the date of assessment of an original assessment— |
| (i) |
by way of self-assessment by the taxpayer; or |
| (ii) |
if no return is received, by SARS; |
| (c) |
in the case of a self-assessment for which no return is required, after the expiration of five years from the— |
| (ii) |
effective date, if no payment was made in respect of the tax for the tax period; |
| (aa) |
amount which should have been assessed to tax under the preceding assessment was, in accordance with the practice generally prevailing at the date of the preceding assessment, not assessed to tax; or |
[Section 99(1)((d)(i)(aa) substituted by section 59 of the Tax Administration Laws Amendment Act, 2012 (Act No. 21 of 2012)]
| (bb) |
full amount of tax which should have been assessed under the preceding assessment was, in accordance with the practice, not assessed; |
| (ii) |
a reduced assessment, if the preceding assessment was made in accordance with the practice generally prevailing at the date of that assessment; or |
| (iii) |
a tax for which no return is required, if the payment was made in accordance with the practice generally prevailing at the date of that payment; or |
| (e) |
in respect of a dispute that has been resolved under Chapter 9. |
[Section 99(1) substituted by section 51(a) of the Tax Administration Laws Amendment Act, 2015 (Act No. 23 of 2015)]
| (2) |
Subsection (1) does not apply to the extent that— |
| (a) |
in the case of assessment by SARS, the fact that the full amount of tax chargeable was not assessed, was due to— |
| (ii) |
misrepresentation; or |
| (iii) |
non-disclosure of material facts; |
| (b) |
in the case of self-assessment, the fact that the full amount of tax chargeable was not assessed, was due to— |
| (ii) |
intentional or negligent misrepresentation; |
| (iii) |
intentional or negligent non-disclosure of material facts; or |
| (iv) |
the failure to submit a return or, if no return is required, the failure to make the required payment of tax; |
| (c) |
SARS and the taxpayer so agree prior to the expiry of the limitations period; |
| (d) |
it is necessary to give effect to— |
| (i) |
the resolution of a dispute under Chapter 9; or |
| (ii) |
[Section 99(2)(d)(ii) deleted by section 55 of the Tax Administration Laws Amendment Act, 2016 (Act No. 16 of 2016)] |
| (iii) |
an assessment referred to in section 93(1)(d) if SARS becomes aware of the error referred to in that subsection before expiry of the period for the assessment under subsection (1); or |
[Section 99(2)(d)(iv) inserted by section 20 of the Tax Administration Laws Amendment Act, 2021 (Act No. 21 of 2021), Notice No. 771, GG45788, dated 19 January 2022]
[Section 992 substituted by section 51(b) of the Tax Administration Laws Amendment Act, 2015 (Act No. 23 of 2015)]
| (3) |
The Commissioner may, by prior notice of at least 30 days to the taxpayer, extend a period under subsection (1) or an extended period under this section, before the expiry thereof, by a period approximate to a delay arising from: |
| (a) |
failure by a taxpayer to provide all the relevant material requested within the period under section 46(1) or the extended period under section 46(5); or |
| (b) |
resolving an information entitlement dispute, including legal proceedings. |
[Section 99(3) inserted by section 51(c) of the Tax Administration Laws Amendment Act, 2015 (Act No. 23 of 2015)]
| (4) |
The Commissioner may, by prior notice of at least 60 days to the taxpayer, extend a period under subsection (1), before the expiry thereof, by three years in the case of an assessment by SARS or two years in the case of self-assessment, where an audit or investigation under Chapter 5 relates to— |
| (i) |
the application of the doctrine of substance over form; |
| (ii) |
the application of Part IIA of Chapter III of the Income Tax Act, section 73 of the Value-Added Tax Act or any other general anti-avoidance provision under a tax Act; |
| (iii) |
the taxation of hybrid entities or hybrid instruments; or |
| (iv) |
section 31 of the Income Tax Act. |
[Section 99(4) inserted by section 51(c) of the Tax Administration Laws Amendment Act, 2015 (Act No. 23 of 2015)]
Administration of Estates Act, 1965
