Tax Administration Act, 2011 (Act No. 28 of 2011)Chapter 14 : Write off or Compromise of Tax debtsPart D : Compromise of tax debt202. Consideration of request to compromise tax debt |
| (1) | In considering a request for a "compromise", a senior SARS official must have regard to the extent that the "compromise" may result in— |
| (a) | savings in the costs of collection; |
| (b) | collection at an earlier date than would otherwise be the case without the "compromise"; |
| (c) | collection of a greater amount than would otherwise have been recovered; or |
| (d) | the abandonment by the "debtor" of some claim or right, which has a monetary value, arising under a tax Act, including existing or future tax benefits, such as carryovers of losses, deductions, credits and rebates. |
| (2) | In determining the position without the "compromise", a senior SARS official must have regard to— |
| (a) | the value of the "debtor's" present "assets"; |
| (b) | future prospects of the "debtor", including arrangements which have been implemented or are proposed which may have the effect of diverting income or assets that may otherwise accrue to or be acquired by the "debtor" or a connected person in relation to the "debtor"; |
| (c) | past transactions of the "debtor"; and |
| (d) | the position of any connected person in relation to the "debtor". |