No. It is not apparent from the question why R12 000 of a retired person’s investment income should be exempt from tax. The R1 000 exemption that currently applies in respect of interest income was originally introduced, at a lower level, to facilitate the introduction of the final deduction system and not only as a relief measure for retired persons or the lower income groups or to encourage saving. Along with the Margo Commission the Government does not believe that the exemption of a part of a taxpayer’s investment income is sound tax policy, nor is it accepted that saving can best be encouraged by way of tax incentives. Selective tax incentives are inclined to create distortions in the economy, whereas a general reduction of tax rates, which will benefit the whole body of taxpayers and not only those who, owing to their age, status as pensioners or level of income, qualify for the incentives, is what the Government is aiming to achieve. The elimination, as far as possible, of existing incentives will help to attain that objective while the creation of yet more incentives and reliefs will only hinder its achievement.

No. Should it be alleged that a member of the personnel of a foreign diplomatic mission has participated in political activities in South Africa, in contravention of the generally accepted rules of international law, the allegation would be carefully investigated by my Department. Should the allegation be found to be correct, the necessary action would be taken by my Department.

(See reply to Question No 1374 on Friday, 30 September 1988 in Col 2315)

(See reply to Question No 1374 on Friday, 30 September 1988 in Col 2315)

(See reply to Question No 1374 on Friday, 30 September 1988 in Col 2315.)

(See reply to Question No 1374 on Friday, 30 September 1988 in Col 2315.)

To question 1374, as well as on behalf of the Ministers addressed by similarly phrased questions nos. 1364-1373 and 1375-1388.

Note: This reply is in respect only of contributions made by general affairs departments and those indicated with an asterisk (*) have already replied individually. Their replies are quoted again merely for the sake of completeness.

The following departments/provincial administration indicated that they made no contribution to the festivals concerned.

The answer in respect of these departments/ administration is thus:

1. (1) (a), (b) and (c) No.
   1. (i) to (iv) fall away.
2. (2) No, (a) and (b) fall away.

The following departments/provincial administrations made contributions to the festivals to the extent indicated against their names —

QUESTION 1366: Post and Telecommunications*

1. (1)
   1. (a) Yes:
      1. (i) the provision to the National Festival Committee (Diaz 88) of a 10 X 50 switchboard with 5 junction lines and 25 indoor extensions as well as 14 exchange connections at Mossel Bay.
      2. (ii) during the period 29 January to 6 February 1988,
      3. (iii) upon request of the National Festival Committee (Diaz 88),
      4. (iv) R4 470,50. This represents a rental of R635,50 and a service charge of R3 835. The Committee was absolved from paying this cost by virtue of the powers vested in the Postmaster General by section 2B(1)(k) of the Post Office Act 1958, (Act 44 of 1958). The full call charges were however payable.
   2. (b) No; items (i), (ii), (iii) and (iv) fall away.
   3. (c) Yes: Indirectly in respect of the only request received, namely from the Pretoria branch of the Afrikaanse Taal- en Kultuurbond (ATKB)
      1. (i) by lending out of Post Office Museum items for display during a float procession,
      2. (ii) October 1988,
      3. (iii) the ATKB does not have the items at its disposal,
      4. (iv) none.
2. (2) No, (a) and (b) fall away.

QUESTION 1367: Constitutional Development and Planning

Transvaal Provincial Government

1. (1)
   1. (a) Yes.
      1. (i) Financial contribution.
      2. (ii) 8 July 1988.
      3. (iii) Contribution towards the redemption of a shortage of funds experienced in respect of the Diaz Festival, Johannesburg.
      4. (iv) R3 000.
   2. (b) Yes.
      1. (i) Financial contribution.
      2. (ii) 26 March 1988.
      3. (iii) Contribution towards the redemption of a shortage of funds experienced in respect of the Transvaal Huguenot Festival.
      4. (iv) R50 000.
   3. (c) No.
      1. (i) to (iv) fall away.
2. (2) No, (a) and (b) fall away.

Natal Provincial Government

1. (1)
   1. (a) and (b) Yes.
   2. (c) No.
      In respect of the Diaz and Huguenot festivals:—
      1. (i) Financial and organizational arrangements.
      2. (ii) 1987/88 and 1988/89 financial years.
      3. (iii) To commemorate Diaz’s voyage around the Cape in 1488 and the arrival of the Huguenots in 1688. These commemorations were seen as matters of national interest, not only by this country, but also by Portugal and France.
      4. (iv) Diaz and Huguenot festivals — R285 640. Certain arrangements of the festivals have been carried out simultaneously and the expenditure involved cannot therefore be split.
2. (2) No, (a) and (b) fall away.

Cape Provincial Government

1. (1)
   1. (a) and (b) Yes.
   2. (c) No.
      1. (i) Financial contributions.
      2. (ii) 1987/88
      3. (iii) It is in commemoration of two historical events of national significance which also have a place in world history.
      4. (iv) Diaz Festival — R150 000.
         Huguenot Festival — R150 000.
2. (2) No, (a) and (b) fall away.

QUESTION 1368: Defence

1. (1)
   1. (a) Yes.
      1. (i) Participation in Mossel Bay, Kwaaihoek, Port Elizabeth, East London and Durban by means of air displays by the Silver Falcons and helicopters, military exhibitions, a guard of honour for the State President, a Navy Review, participation during a symbolic cross erecting ceremony, various performances by the Navy band and by Naval ships. Participation by two Navy vessels and static exhibitions is planned for the Diaz caravel’s visit to Luderitz.
      2. (ii) Mossel Bay: 29 January 1988 to 4 February 1988
         Kwaaihoek: 12 February 1988
         Port Elizabeth: 18 February 1988 to 22 February 1988
         East London: 13 March 1988 to 19 March 1988
         Durban: 11 June 1988.
         Luderitz: 16 July 1988 to 26 July 1988
      3. (iii) The Diaz Festival was organised on a national basis and it is the SA Defence Force policy to participate in national festivals according to its capability, with due consideration of its training and operational requirements.
      4. (iv) R386 576.
   2. (b) Yes.
      1. (i) Participation in festivals in Saldanha, Cape Town, Paarl and Wellington by means of air displays by the Silver Falcons, parachute-jumping displays, a church service, performances by the SA Defence Choir and Concert Group, the Navy band and drill displays. Two vessels of the Navy also participated in the Festival.
      2. (ii) 9 April 1988 to 16 April 1988.
      3. (iii) The Huguenot Festival was organised on a national basis and it is the SA Defence Force policy to participate in national festivals according to its capability, with due consideration of its training and operational requirements.
      4. (iv) R64 Oil.
   3. (c) Yes.
      1. (i) Participation in the Great Trek Commemorative Festival at , the Great Trek Festival at De Aar and the Voortrekker Monument Festival at Pretoria. Tents and camping equipment will be provided to the Voortrekkers and Defence Force bands and other elements will participate in the events. Ad hoc participation by SA Defence Force elements at local festivals is also possible but full particulars of such participation can at this stage, not be supplied.
      2. (ii) De Aar: 10 October 1988 Verwoerdburg: 22 October 1988 Pretoria: 10 to 16 December 1988
      3. (iii) It is the SA Defence Force policy to render assistance and to participate in national festivals according to its capability, with due consideration of its training and operational requirements.
      4. (iv) Verwoerdburg and De Aar: R11 825. The cost of participation at the Voortrekker Monument Festival has not been determined yet because the extent of participation has not been cleared with the festival committee.
2. (2) No, (a) and (b) fall away.

QUESTION 1373: Environment Affairs

1. (1)
   1. (a) Yes.
      1. (i) In the form of a crayfish quota of 15 tonnes to the Portuguese community.
      2. (ii) During the Diaz Festival in Cape Town.
      3. (iii) To contribute to the success of the festival and in doing so, to acknowledge the contribution of the Portuguese community, especially in the fisheries field.
      4. (iv) No costs to the Government.
         1. (1) (b) and (c) No.
2. (2) No, (a) and (b) fall away.

QUESTION 1374: Finance

1. (1)
   1. (a) to (c) Yes.
      1. (i) (a) to (c) By selling Protea-commemorative coins.
      2. (ii)
         1. (a) Diaz — Several days during
            January, February and April 1988.
         2. (b) Huguenot — Several days during April 1988.
         3. (c) Great Trek — Several days during December 1988.
      3. (iii) (a) to (c) To sell commemorative coins with a historical value to the public.
      4. (iv) (a) to (c) About R25 000 (only administrative expenses).
2. (2) No, (a) and (b) fall away.

QUESTION 1375: Foreign Affairs

1. (1)
   1. (a) Yes.
      1. (i) By inviting and receiving opinion makers from abroad in terms of the Department’s guest programme.
      2. (ii) January and February 1988.
      3. (iii) This historically important event provided a good opportunity to strengthen South Africa’s international ties.
      4. (iv) R140 000.
   2. (b) Yes.
      1. (i) By inviting and receiving opinion makers from abroad in terms of the Department’s guest programme.
      2. (ii) April 1988.
      3. (iii) This historically important event provided a good opportunity to strengthen South Africa’s international ties.
      4. (iv) R94 000.
   3. (c) No.
      1. (i) to (iv) fall away.
2. (2) No, (a) and (b) fall away.

QUESTION 1377: Bureau for Information*

1. (1)
   1. (a) to (c) Yes.
      1. (i) and (ii)
         A gastronomical display was held in Port Elizabeth as a part of the Diaz Festival Committee’s 1988 — Algoa Diaz 500 Festival. Date: 17-19 February 1988.
         Logistical assistance was granted to the foreign media and to guests of the Department of Foreign Affairs.
         Date: Continuously from January to May 1988.
         Graphic material and photos were provided to the Port Edward local authority.
         Date: 10 June 1988.
         Publications regarding the Diaz Festival were distributed.
         Date: Continuously from January to May 1988.
         Telephone numbers of the organisers were given to interested persons from January to May 1988.
         Video recordings were made during the festival at Mossel Bay.
         Date: Between 31 January and 7 February 1988.
         Articles in SA Panorama in the November 1987 and June 1988 editions.
      2. (iii) In the execution of the Bureau’s communication line function brief and at the request of other authorities.
      3. (iv) Assistance was granted within the line function of the Bureau and it is therefore not possible to reflect the cost in each case except for the gastronomical display which cost R1 565,24.
   2. (1) (b)
      1. (i) and (ii)
         Assistance was granted to guests of the Department of Foreign Affairs during April 1988.
         Telephone numbers óf the organisers were given to interested persons on a continuous basis.
         The Women’s Agricultural Association in Upington was assisted in arranging a display in August 1988.
         Article in SA Panorama, August 1988.
         Representation on the Tourism Committee of the National Festival Committee Huguenots 300 on 24 July 1986, 22 April 1987, 10 June 1987 and 8 July 1987.
      2. (iii) In the execution of the Bureau’s communication line function brief and at the request of other authorities.
      3. (iv) Assistance was granted within the line function of the Bureau and it is therefore not possible to reflect the cost in each case.
   3. (c)
      1. (i) Article in Panorama. Other assistance on an ad hoc basis if requested.
      2. (ii) No dates available yet.
      3. (iii) In the execution of the Bureau’s communication line function brief and at the request of other authorities.
      4. (iv) Assistance was granted within the line function of the Bureau and it is therefore not possible to reflect the cost in each case.
2. (2) No, (a) and (b) fall away.

QUESTION 1379: SA Prisons Service

1. (1)
   1. (a) Yes.
      1. (i) Band displays.
      2. (ii) 23 and 24 April 1988.
      3. (iii) On request of the Kroonstad Cultural Council participation was considered favourably as a contribution to the cultural activities of the town.
      4. (iv) R102,09
   2. (b) Yes.
      1. (i) Permission was granted for the cutter Jupitor to wharf at Robben Island, and for its crew to overnight on the Island.
      2. (ii) 12 April 1988.
      3. (iii) To ensure that the Huguenots were able to arrive at the Victoria Basin on 13 April 1988 at exactly 10h30 for the beginning of the festival.
      4. (iv) None.
   3. (c) Yes.
      1. (i) Band displays.
      2. (ii) and (iv) 27 August 1988 (Cape Town) ±R50,00
         31 August 1988 (Wellington) ±R330,00
         6-11 October 1988 (Port Elizabeth Region)±R8 000,00
         28 and 29 October 1988 (Kroonstad) ±R110,00
         10-16 December 1988 (Pretoria) — Extent of participation is not known yet. Costs unknown.
      3. (iii) The SA Prisons Service participates by means of its publicity groups in venues which have maximum publicity value for the organization. The general public’s need to see performances by the SA Prisons Service’s display groups is also taken into consideration. Against this background and with due consideration of available funds, limited participation in the Great Trek Festival has been favourably considered.
2. (2) No, (a) and (b) fall away.

QUESTION 1380: SA Police

1. (1)
   1. (a) to (c) Yes.
      1. (i) A display group from the Hammanskraal Training College was to have taken part in the Diaz Festival, but had to withdraw as a result of a serious bus accident.
      2. (b) (i) The South African Police Band and a display group from the Bishop Lavis Training College participated in the Huguenot Festival.
      3. (c) (i) Participation in the Great Trek
         Festival is at present being planned.
      4. (ii)
         1. (a) 29 and 30 January 1988.
         2. (b) 8 to 16 April 1988.
         3. (c) These dates must still be determined.
      5. (iii) (a) to (c)
         The festivals concerned were and are being held to commemorate occasions which form part of the socio-historical heritage of South Africa. This year the South African Police celebrates its 75 th anniversary. We are proud that the origin of the South African Police can to a large extent be traced back to this socio-historical heritage. Participation in these festivals is a gesture of goodwill, but it also affords excellent opportunity for recruiting and for promoting a positive image of the Force.
      6. (iv) (a) to (c)
         The cost involved in this participation is not being calculated separately because it is regarded as normal actions to promote a positive image of the Force and for recruiting and can therefore not be furnished.
2. (2) No, (a) and (b) fall away.

QUESTION 1384: Public Works and Land Affairs*

1. (1)
   1. (a) Yes.
      1. (i) The erection of a pavilion for 600 persons, a platform for speakers and commentary boxes and a platform for the television service of the South African Broadcasting Corporation as well as the provision of flagpoles and flags;
      2. (ii) for the period 29 January 1988 to 6 February 1988;
      3. (iii) it is a function of the Department of Public Works and Land Affairs to supply logistical services at national festivals; and
      4. (iv) R54 270.
   2. (b) Yes.
      1. (i) Provision of flagpoles, flags, lighting, sound system and emergency power generator;
      2. (ii) 14 April 1988;
      3. (iii) for the same reason mentioned in (a)(iii) above;
      4. (iv) R3 700.
   3. (c) A request in this regard has not yet been received. (i), (ii), (iii) and (iv) fall away.
2. (2) No, (a) and (b) fall away.

QUESTION 1385: Office of the State President

1. (1)
   1. (a) Yes.
      1. (i) In an advisory capacity.
      2. (ii) Prior and during the State President’s appearance as chief guest of honour at the festivities at Mossel Bay.
      3. (iii) Because of the State President’s appearance.
      4. (iv) R3 656,90.
2. (1) (b) and (c) No.
3. (2) No, (a) and (b) fall away.

QUESTION 1386: Transport

1. (1)
   1. (a) Yes.
      1. (i) An officer of the Department of Transport has been seconded to serve on the Diaz 88-committee and to act as master of the Caravel;
      2. (ii) Since December 1984;
      3. (iii) As a result of the Department’s involvement in shipping; and
      4. (iv) The normal salary of the officer.
2. (1) (b) and (c) No,
   1. (i) to (iv) fall away.
3. (2) No, (a) and (b) fall away.

QUESTION 1387: SA Transport Services*

1. (1)
   1. (a) and (b) Yes.
      1. (i) to (iv)
         Employees of Transport Services were co-opted to serve in organising committees prior to and during the Diaz Festival. Although no financial contributions were made towards the festival, the use of various Transport Services’ facilities, including the Mossel Bay harbour area, were made available for the festival free of charge. Revenue was obtained through the leasing of the harbour shed at Mossel Bay as well as containers that were utilised as stalls.
         Transport Services, as owner of the harbours where the festival took place, authorised the use of these facilities free of charge as part of its contribution to the Dias Festival.
         In so far as the Huguenot Festival is concerned, berthing facilities for the Huguenot ship were provided free of charge.
         The publicity value generated for Transport Services in lieu of the provision of the facilities concerned is estimated at R31 000.
   2. (c) No, (i) to (iv) falls away.
2. (2) No, (a) and (b) fall away.

(See reply to Question No 1374 on Friday, 30 September 1988 in Col 2315.)

(See reply to Question No 1374 on Friday, 30 September 1988 in Col 2315.)

(See reply to Question No 1374 on Friday, 30 September 1988 in Col 2315.)

(See reply to Question No 1374 on Friday, 30 September 1988 in Col 2315.)

(See reply to Question No 1374 on Friday, 30 September 1988 in Col 2315.)

(See reply to Question No 1374 on Friday, 30 September 1988 in Col 2315.)

1. (1) I and my Department are aware of such reports and rumours.
2. (2) If it can be proved that the allegations are true, suitable steps will be taken.

Such legislation is not now being considered.

The taxpayer, or vendor under the Sales Tax Act, is personally responsible for the timeous rendition of and the correctness of information in his returns.

If, as the result of negligence and/or unprofessional conduct of his accountant or bookkeeper, he incurs penalties under the tax laws he will have a civil claim for damages under common law against such person. In fact, accountants are covered by professional indemnity insurance against such claims.

1. (1) It has been the practice since 1986, in the case of companies, and 1987, in the case of individuals, to refund all tax credits. Credits relating to prior years have either been used to reduce provisional tax payments due in respect of subsequent years of assessment or have been consolidated and set-off against outstanding taxes.
   The following credits representing advance payments by way of employees tax and provisional tax for the 1989 year of assessment are being held for set-off against assessments (debits) still to be raised:
   Individuals:
   Employees tax…. R3 474 685 563 Provisional taxR106 730 575
   Companies:
   Provisional taxR2 826 975 473
2. (2) Interest is payable on provisional tax credits at a rate of 12 per cent per annum to taxpayers with taxable incomes in excess of R50 000 in the case of individuals and R20 000 in the case of companies. This rate was fixed at 15 per cent up to and including 30 September 1987, but, to prevent any abuse, the Act was amended last year to bring it into line with market-related rates in the private sector.
   In the case of outstanding debits, taxpayers are charged interest at the rate of 15%. This rate was not also reduced, the reason being that it should serve as a disincentive to those who seek to delay the payment of their taxes unnecessarily.

1. (1) The present estimated cost of the building is R191 770 000.
2. (2) Planning of the building is presently still in progress and tenders will only be called for after completion thereof. Minor preparatory site works have been done for which tenders were awarded.
3. (3) Falls away.

1. (a)
   1. (i) 69 people including media representatives.
   2. (ii) It is not considered to be in South Africa’s interest that names be furnished.
2. (b)
   1. (i) SAA.
   2. (ii) The cost of the return air transport for the group amounted to R4 342,30 per person.
3. (c)
   1. (i) The relevant government departments involved in the peace talks and the media representatives who accompanied the delegation jointly financed the visit.
   2. (ii) Falls away.

1. (1) Yes. Provision for the importation of worn clothing and worn textile articles which are put up (imported) in bulk packings such as bales is made in tariff heading 63.09 of Schedule No. 1 to the Customs and Excise Act, 1964.
   1. (a) and (b) Worn overcoats in such packings are subject to Customs duty of 25% or 40c each and other worn clothing in such packings to Customs duty of 25% or 35c each. Both are subject to surcharge at 20%.
      Other used (second-hand) clothing is classified in either Chapter 61 or Chapter 62 of Schedule No. 1 to the Customs and Excise Act and the rate of duty, which differs according to the type of clothing and the material from which it is manufactured, depends on the applicable tariff heading. Should the Honourable Member require any further detail in this regard he should please contact the Commissioner for Customs and Excise.
      The importation of worn/second-hand clothing is subject to production of an import permit.
2. (2) No.

1. (1) No.
2. (2) The Department does not purchase material for curtaining or upholstery purposes. A wide range of material is obtained per tender in the form of manufactured curtains and upholstered furniture. Details of the suppliers, costs and quantities of materials so obtained are not readily available.
3. (3) Falls away.

1. (1) Yes
   1. (a) Brits Rusoord
   2. (b) 1985/86 — R108 348,82
      1986/87 — R321 914,63
      1987/88 — R313 256,78
2. (2) No
3. (3) The management of the home is an autonomous body and determined the contributions of residents themselves.

Note: Schools which in addition to the secondary school phase offer other school phases are given as secondary schools.

Written reply substituting reply to Oral Question No 3 on 12 April 1988 put by Mr K M Andrew (col. 920)

* includes all teaching students who have completed their initial studies by obtaining either a diploma or a degree.