Municipal Fiscal Powers and Functions Act, 2007 (Act No. 12 of 2007)

Chapter 1 : Interpretation and Objects of Act

1. Definitions and interpretation
Purchase cart Previous page Return to chapter overview Next page

 

 

(1)In this Act, unless the context indicates otherwise—

 

"category of municipality"

means a category A, B or C municipality referred to in section 155(1) of the Constitution;

 

"collecting agent"

means the municipality or the collecting agent determined by the Minister in terms of section 6(b)(ii);

 

"Commission"

means the Financial and Fiscal Commission established by section 220 of the Constitution;

 

"Constitution"

means the Constitution of the Republic of South Africa, 1996;

 

"Minister"

means the Minister of Finance;

 

"municipal base tariff"

means the fees necessary to cover the actual cost associated with rendering a municipal service, and includes—

(a) bulk purchasing costs in respect of water and electricity reticulation services, and other municipal services;
(b) overhead, operation and maintenance costs;
(c) capital costs;
(d) a reasonable rate of return, if authorised by a regulator of or the Minister responsible for that municipal service;

 

"municipal financial year"

means the financial year of a municipality commencing on 1 July and ending on 30 June;

 

"municipal service"

means—

(a) any of the local government matters listed in Part B of Schedule 4 and Part B of Schedule 5 to the Constitution; and
(b) any function assigned to a municipality in accordance with section 9 or 10 of the Local Government: Municipal Systems Act, 2000 (Act No. 32 of 2000), identified by the Minister by notice in the Gazette;

 

"municipal surcharge"

means a charge in excess of the municipal base tariff that a municipality may impose on fees for a municipal service provided by or on behalf of a municipality, in terms of section 229(1)(a) of the Constitution;

 

"municipal tax"

means a tax, levy or duty that a municipality may impose in terms of section 229(1)(b) of the Constitution;

 

"national economic policy"

includes the tax policy for the Republic as determined by the national government;

 

"organised local government"

means an organisation recognised in terms of section 2(1) of the Organised Local Government Act, 1997 (Act No. 52 of 1997), to represent local government nationally or provincially;

 

"prescribe"

means prescribe by regulation;

 

"regulation"

means a regulation made under sections 6, 8 or 10;

 

"this Act"

includes any regulation or determination made or instruction given under this Act.

 

(2) If any conflict relating to the matters dealt with in this Act arises between this Act and any other legislation in force when this Act takes effect, this Act prevails.