Equity instruments not yet vested @ time that person ceased to be resident Any R to acquire marketable security being a resident Commence EG Non-resident : source base Resident: worldwide Vehicle Interested in CGT here Yacht MV @ date enter SA = BC Does not apply to assets already within net before residency: Immovable property situated in SA / A’s of establishment’ through which trade is ‘permanent carried on in SA Any R to acquire marketable security A’s not held as trading stock (Capital) NOW trading stock (MV) EG: Land used as Capital Asset NOW: subdivided and sell plots Capital Asset Trading stock MV on date of change in intention = Proceeds Assets held as trading stock NOW capital asset EG: Date Of Transaction CP --------------- SP = MV on date trns MC = BC ------- Then Sell at SP NOTE: there are both CGT + INCOME TAX effect if CAP (A) becomes TS + vice versa NOT held as NOW: PUA “PUA” EG: Capital PUA BC - - - - - - - - > MV = Proceeds Now no CGT consequences: PUA excl. Calculate CGT Held as PUA NOT PUA anymore (establish BC) EG: PUA Capital Asset No CGT : exemption If sell: CGT = SP BC(MV) – MV@ date of = BC “disposal” PROCEEDS Amount received / accrued to a person iro the disposal of the asset SPECIFICALLY INCLUDED: Amount by which debt has been reduced Amount received / accrued to lessee for improvements
Equity instruments not yet vested @ time that person ceased to be resident Any R to acquire marketable security Commence being a resident EG Non-resident : source base Resident: worldwide Vehicle Interested in CGT here Yacht MV @ date enter SA = BC Does not apply to assets already within net before residency: Immovable property situated in SA / A’s of ‘permanent establishment’ through which trade is carried on in SA Any R to acquire marketable security A’s not held as trading stock (Capital) NOW trading stock (MV) EG: Land used as Capital Asset NOW: subdivided and sell plots Capital Asset Trading stock MV on date of change in intention = Proceeds Assets held as trading stock NOW capital asset EG: Date Of Transaction CP --------------- SP = MV on date trns MC = BC ------- Then Sell at SP NOTE: there are both CGT + INCOME TAX effect if CAP (A) becomes TS + vice versa NOT held as “PUA” NOW: PUA EG: Capital PUA BC - - - - - - - - > MV = Proceeds Now no CGT consequences: PUA excl. Calculate CGT Held as PUA NOT PUA anymore (establish BC) EG: PUA Capital Asset No CGT : exemption If sell: CGT = SP – BC(MV) MV@ date of “disposal” = BC PROCEEDS Amount received / accrued to a person iro the disposal of the asset SPECIFICALLY INCLUDED: Amount by which debt has been reduced Amount received / accrued to lessee for improvements
CGT-Study-notes-part-1-4.docx