Answered: Section 50A to 50H on the Income Tax…

Section 50A to 50H on the Income Tax Act provides for the withholding tax on interest. Which of the following is not exempt from withholding taxes on interest?

SWFT Essntl Tax Individ/Bus Entities 2020

23rd Edition

ISBN:9780357391266

Author:Nellen

Publisher:Nellen

Chapter2: Working With The Tax Law

Section: Chapter Questions

Problem 5RP

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QUESTION 27
Section 50A to 50H on the Income Tax Act provides for the withholding tax on interest. Which of the following is not exempt from withholding taxes on interest?
(1) Interest on listed debt or paid to a client as defined in The Financial Markets Act.
(2) Interest paid by national, provincial or local government.
(3) Interest paid by a headquarter company providing financial assistance in terms of Section 31 provisions.
(4) Interest paid by a bank.
(5) Interest from a source in the Republic paid to a non-resident.

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