Chief Registrar’s Circular No. 1 of 2017
Restitution of Land Rights Act, 1994 (Act No. 22 of 1994)
1. Application of this Circular and withdrawal of CRC 18 of 2014
The provisions in respect of transfer duty as contained in paragraph 3.4 in CRC 18 of 2014 are out-dated. CRC 18 of 2014 is therefore withdrawn and substituted with this Circular. CRC 2 of 1995 that was previously withdrawn by CRC 18 of 2014 remains withdrawn.
2. Commencement and Purpose of the Act
The Act came into operation on 2 December 1994.
The purpose of the Act is to provide for the restitution of rights in land to persons or communities dispossessed of such rights after 19 June 1913 as a result of past racially discriminatory laws or practices; to establish a Commission on Restitution of Land Rights and a Land Claims Court; and to provide for matters connected therewith.
3. Impact of certain provisions of the Act on deeds registration procedures
3.1. Vesting of land in the name of the State
3.1.1 Where, in terms of the Act, and is acquired or expropriated in order to be restored or awarded to a claimant, such land vests in the State, which must transfer it to a claimant (section 42A(1) of the Act).
3.1.2 The vesting of the land in the name of the State, as contemplated in section 42A of the Act, must be by means of the registration of:-
220.127.116.11 A transfer by endorsement in terms of section 16 of the Deeds Registries Act, 1937 (Act No. 47 of 1937); or
18.104.22.168. A Deed of Transfer in terms of Section 31 of Act 47 No. of 1937 (Form G).
3. 2. Registration of land in the name of a claimant
3.2.1 Land that has vested in the State (item 3.1.1 above), must be transferred to the claimant by means of a conventional deed of transfer or by means of a deed of grant.
3.3 Certain laws not applicable in respect of land restored or awarded
3.3.1 The laws governing the subdivision of agricultural land shall not apply in respect of any subdivision undertaken in order to restore or award land to any claimant in terms of the Act (section 42B(1)).
3.3.2 Section 42B(2) determines that the laws governing the establishment of townships shall not apply to land restored or awarded to any claimant in terms of the Act, as long as that land is predominantly occupied by that claimant.
3.4 Transfer duty
In terms of section 42A(2) of the Act, read with Section 9 (1) (n) of the Transfer Duty Act No. 40 of 1949, registrations of transfer of land in terms of the Act are exempt from Transfer duty and may be registered without the need to lodge a transfer duty receipt or an exemption certificate from South African Revenue Services, (in this regard see the Directive issued by SARS dated 14 January 1999, referenced 2/2/1, as well as CRC 14 of 2000).
3.5. Registration Fees
Only transfers in terms of section 42A of the Act are automatically exempt from registration fees. In respect other transfers, unless a directive referred to in section 42(2) of the Act is lodged with the particular transfer of land or a right in land, registration fees are payable.