| (1) | The tax shall not be payable- |
| (a) | [deleted by the Revenue Laws Amendment Act No. 31 of 2005] ; |
| (b) | in respect of a change in beneficial ownership in securities- |
| (i) | if the person who acquires beneficial ownership is- |
| (aa) | a member who has purchased the securities for his, her or its own account and benefit; |
| (bb) | a Public Debt Commissioner; |
| (cc) | an heir or a legatee who has acquired the securities ab intestatio or by way of testamentary succession or as a result of a redistribution of the assets of a deceased estate in the process of liquidation; or |
| (dd) | a person who is exempt from the payment of stamp duty in terms of section 4 of the Stamp Duties Act, 1968 (Act No. 77 of 1968), and the change was not effected pursuant to a purchase contemplated in section 4 of this Act; |
| (ii) | if the securities were issued by the Reserve Bank of South Africa; |
| (iii) | to the extent that the securities are instruments as contemplated in section 24J of the Income Tax Act, 1962 (Act No. 58 of 1962); |
| (iv) | if the change in beneficial ownership is from a lender to a borrower, or vice versa, in terms of a lending arrangement and the lender or borrower, as the case may be, who has acquired beneficial ownership has certified to the participant that the change is in terms of such a lending arrangement; |
| (v) | if the beneficial ownership is acquired by a beneficiary entitled thereto under a trust created in accordance with a will; |
| (vi) | if the change in beneficial ownership is from a pension fund which is registered under the Pension Fund Act, 1956 (Act No. 24 of 1956), to another pension fund which is registered under that Act, and such change is made in pursuance of a scheme referred to in section 14(1) of the said Act; |
| (vii) | [sub-para. (vii) deleted by s. 87 of Act No. 30 of 2000]; or |
| (viii) | if a subsidiary company, as contemplated in item 15(3)(i) of Schedule 1 to the Stamp Duties Act, 1968 (Act No. 77 of 1968), acquires beneficial ownership of the securities in the circumstances contemplated in that item. |
| (ix) | if the beneficial ownership is acquired by a person— |
| (aa) | in terms of an asset-for-share transaction contemplated in section 42 of the Income Tax Act, 1962 (Act 58 of 1962); |
| (bb) | [deleted by the Revenue Laws Amendment Act, 2007 (Act No. 35 of 2007); |
| (cc) | in terms of an amalgamation transaction contemplated in section 44 of that Act; |
| (dd) | in terms of an intra-group transfer contemplated in section 45 of that Act; |
| (ee) | in terms of an unbundling transaction contemplated in section 46 of that Act; |
| (ff) | in terms of a liquidation distribution contemplated in section 47 of that Act; or |
| (gg) | in terms of any transaction which would have constituted a transaction or distribution contemplated— |
| (A) | in subparagraphs (aa) to (ff) regardless of whether or not an election has been made for the provisions of that section to apply; |
| (B) | in subparagraph (aa), or (cc) regardless of the market value of the asset disposed of in exchange for those securities; or |
| (C) | in subparagraphs (aa) to (ff) regardless of whether or not that person acquired those securities as capital assets or as trading stock, |
where the public officer of the relevant company has made a sworn affidavit or solemn declaration that the acquisition of those securities complies with the provisions of this paragraph.
| (x) | if the security constitutes a warrant and the beneficial ownership therein is acquired by the issuer thereof, or |
| (xi) | to the extent that the securities are participatory interests in a collective investment scheme regulated in terms of the Collective Investment Schemes Control Act, 2002 (Act No. 45 of 2002). |
| (2) | The Commissioner may for the purposes of this section prescribe any declaration to be submitted by any person to the participant in respect of any security contemplated in subsection (1)(b). |
| (3) | No exemption contemplated in subsection (1) shall apply in respect of any change in beneficial ownership in any security contemplated in subsection (1)(b), unless there is lodged with a participant a declaration contemplated in subsection (2) in respect of such security. |
