Die invloed van Internet op die toepaslikheid van die bronreels in terme van die Inkomstebelastingwet, No. 58 van 1962

[摘要] ENGLISH ABSTRACT:lt is internationally accepted that Internet is the trade route of the future.Although Internet trading is still in its infancy the effect of Internet on taxationneeds to be adressed.Internet defies geographic borders and leads to the questioning of theprinciples underlying income tax. Income tax principles are traditionally basedon the existence of some form of physical presence (either residency, sourceof income or that of a permanent establishment) in a jurisdiction before taxcan be levied. The fact that Internet can provide substantial economic activityin a jurisdiction without any physical presence, requires interpretation ofand/or amendments to the traditional income tax principles.The South African income tax principles are based on the source of income.In this study the impact of Internet on the applicability of the traditional sourcerules, in terms of the South African Income Tax Act, no. 58 of 1962, wasinvestigated.The study first outlines the principles and methodology laid down by SouthAfrican courts in determining the source of income. These principles andmethodology are then tested in an Internet environment. lt is concluded thatInternet requires a reinterpretation of certain of the traditional principles, i.e.:• The fact that a dominant source rule is applied.• The classification of products and services with a digitalised content withinthe existing principles.• The finding of a physical location when transactions are concluded incyberspace.• The applicability of certain deemed source rules, i.e. section 9(1 )(a),9(1)(d), 9(1)(dbis) and certain aspects of section 9(1)(b), in an Internetenvironment.In obtaining a sollution for South Africa the international initiatives regardingInternet and taxation, under the guidance of the Committee on Fiscal Affairs ofthe Organisation for Enonomic Co-operation and Development (OECD), weretaken into account.The first alternative to the traditional South African source rules that wasinvestigated was the permanent establishment principle, as recommended bythe Katz Commission in their Fifth Interim Report. Other alternatives to thepermanent establishment principle were also investigated, i.e. the residenceprinciple, formal requirements and an Internet tax.The interim solution for South Africa seems to be the acceptance of thepermanent establishment principle. This principle needs interpretation and/oramendment due to the effect of Internet. In this study amendments to thepermanent establishment principle are suggested in order to provide thenecessary clarity in the Internet environment.A closing remark is made that Internet might well change income tax as weknow it today. Internet has the ability to simplify tax systems. None of theincome tax alternatives provide simple tax solutions. The tax of the futureseems to be some form of indirect tax.Internet is an international medium and addresses international tax issues.South Africa will, by accepting the permanent establishment principle, be in aposition to join the co-ordinated efforts towards solving the Internet related taxproblems while aiming to protect our tax base.

[发布机构] Stellenbosch University