Page 78 - P6 Slide Taxation - Lecture Day 7 - Various Topics
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Source of dividend income (s 9(2)( a ))
• The source of dividend income depends on the
residence of the company that pays the dividend.
If the dividend is paid by a South African resident
company, the source of the dividend will be in
South Africa (s 9(2)( a )).
• If the dividend is a foreign dividend paid by a
company that is not a South African tax resident,
the source of the dividend will be outside South
Africa (s 9(4)( a )).
• This dividend will be a foreign dividend (definition
of ‘foreign dividend’ in s 1).
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