Uncertificated Securities Tax Act, 1998 (Act No. 31 of 1998)5A. Other transactions |
| (1) | Unless tax is payable on a transaction contemplated in section 4 or 5 the taxable amount in respect of any change in beneficial ownership in a security or part thereof, shall be— |
| (a) | where the full beneficial ownership in that security is acquired— |
| (i) | the amount of the consideration for that security declared by the person who acquires beneficial ownership of that security; |
or
| (ii) | if no amount of consideration referred to in subparagraph (i) is declared, or if the amount so declared is less than the lowest price of the security on the date of the relevant transaction or other manner of acquisition, the closing price of the security on the date of the relevant transaction or other manner of acquisition; or |
| (b) | where any of the rights or entitlements in the beneficial ownership of that security is acquired, the greater of— |
| (i) | the amount of the consideration declared by the person who acquires beneficial ownership of those rights or entitlements; |
or
| (ii) | the fair market value of those rights or entitlements on the date of acquisition. |
| (2) | The person who acquires the beneficial ownership of a security or who acquires any of the rights or entitlements contemplated in subsection (1)(b) shall be liable for the tax payable in respect of the change in beneficial ownership in a security or part thereof as contemplated in this section. |
| (3) | Any tax payable in terms of subsection (2) must be paid through the member or participant holding the securities in custody, in respect of which a person has acquired the beneficial ownership or which have been cancelled or redeemed. |