Clause 40

by inserting, immediately after subsection (1), the following subsections:“(2) Any tax which has been collected under section 45EA must, when the income in respect of which the tax has been collected is included in the chargeable income of the SRS member in question, be set off for the purpose of collection against the tax charged on that chargeable income.(3) The reference in subsection (2) to income in respect of which tax has been collected is a reference to —

the amount deemed as income of the SRS member under section 10L(3) wholly or partly because of the deduction of any investment from the balance in the SRS account for which the tax has been collected; or

the amount deemed as income of the SRS member under section 10L(6), (7) or (9) (as the case may be), if the deduction of any investment from the balance in the SRS account for which the tax has been collected is made after —

the balance (excluding any life annuity) remaining in the SRS account is deemed withdrawn under section 10L(6) or (7); or

the sum standing in the SRS account is deemed withdrawn under section 10L(9),as the case may be.”; and

by inserting, immediately after the words “section 10L(3)” in subsection (3)(a), the words “or (3G) (as the case may be)”.