Tag: Clerical error

Refers to formal errors committed by the tax authorities in relation to tax assessments.

South Africa vs MTN International Ltd (Mauritius), Marts 2014, Supreme Court of Appeal, Case No. 275/2013 [2014] ZASCA 8

South Africa vs MTN International Ltd (Mauritius), Marts 2014, Supreme Court of Appeal, Case No. 275/2013 [2014] ZASCA 8

The issue before the Supreme Court of Appeal was whether a tax assessment issued by the Commissioner for the South African Revenue Service (SARS), in terms of the Income Tax Act 58 of 1962, for the year 2006 were to be set aside. MTN International Ltd had claimed interest deductions on loans it had incurred as expenditure against its gross income for the year of assessment. On 31 March 2011, which was the last day before the original assessment by SARS was due to prescribe, SARS issued a revised assessment, disallowing deduction of the interest expenditure. The tax assessment resulted in an income tax liability of R 73.476.101 of MTN International Ltd. When issuing the tax assessment the officer at SARS manually fixed the ‘due date’ as 30 March 2011, being one day prior to the day on which the assessment was actually issued. MTN International Ltd applied the High Court to have the tax assessment set aside, on the ... Continue to full case