Page 373 - SAIT Compendium 2016 Volume1

Eighth Schedule INCOME TAX ACT 58 OF 1962 Eighth Schedule Eighth Schedule
Part I: Part II: Part III: Part IV: Part V: Part VI: Part VII: Part VIII: Part IX: Part X: Part XI: Part XII: Part XIII:
Part XIV:
DETERMINATION OF TAXABLE CAPITAL GAINS AND ASSESSED CAPITAL LOSSES
(Section 26A of this Act)
[Eighth Schedule added by s. 38 of Act 5 of 2001.]
General
Taxable capital gains and assessed capital losses Disposal and acquisition of assets
Limitation of losses
Base cost
Proceeds
Primary residence exclusion
Other exclusions
Roll-overs
Attribution of capital gains
Company distributions
Trusts, trust bene ciaries and insolvent estates .. .
1 De nitions
Miscellaneous
[Part XIII repealed by s. 124 (1) of Act 24 of 2011.]
PART I GENERAL (paras. 1–2)
In this Schedule, unless the context indicates otherwise, any meaning ascribed to any word or expression in section 1 of this Act must bear the meaning so ascribed, and—
‘active business asset’ . . .
[De nition of ‘active business asset’ deleted by s. 63 (1) (a) of Act 74 of 2002.]
‘aggregate capital gain’ . . .
[De nition of ‘aggregate capital gain’ deleted by s. 49 (a) of Act 3 of 2008.]
‘aggregate capital loss’ . . .
[De nition of ‘aggregate capital loss’ deleted by s. 49 (b) of Act 3 of 2008.]
‘asset’ includes—
(a) property of whatever nature, whether movable or immovable, corporeal or incorporeal, excluding any currency, but
including any coin made mainly from gold or platinum; and
(b) a right or interest of whatever nature to or in such property;
‘base cost’ means the amount to be determined in terms of Part V;
‘boat’ means any vessel used or capable of being used in, under or on the sea or internal waters, whether— (a) self-propelled or not; or
(b) equipped with an inboard or outboard motor;
‘capital gain’ means the amount to be determined in terms of paragraph 3;
‘capital loss’ means the amount to be determined in terms of paragraph 4;
‘disposal’ means an event, act, forbearance or operation of law envisaged in paragraph 11 or an event, act, forbearance
or operation of law which is in terms of this Schedule treated as the disposal of an asset, and ‘dispose’ must be construed accordingly;
‘ nancial instrument’ . . .
[De nition of ‘ nancial instrument’ deleted by s. 63 (1) (b) of Act 74 of 2002.]
‘foreign currency’ . . .
[De nition of ‘foreign currency’ deleted by s. 63 (1) (c) of Act 74 of 2002.]
‘individual policyholder fund’ means a fund contemplated in section 29A (4) (b);
‘insurer’ means an insurer as de ned in section 29A (1);
‘net capital gain’ means the amount to be determined in terms of paragraph 8;
‘personal-use asset’ means an asset contemplated in paragraph 53;
‘pre-valuation date asset’ means an asset acquired prior to valuation date by a person and which has not been
disposed of by that person before valuation date;
[De nition of ‘pre-valuation date asset’ substituted by s. 65 (1) (a) of Act 60 of 2001.] ‘primary residence’ means a primary residence contemplated in paragraph 44;
‘proceeds’ means the amount to be determined in terms of Part VI;
‘recognised exchange’ means—
(a) an exchange licensed under the Financial Markets Act; or
[Para. (a) substituted by s. 51 (1) (a) of Act 32 of 2004 and by s. 78 (1) of Act 43 of 2014 – date of commencement deemed to have been 3 June 2013.]
(b) . . .
[Para. (b) deleted by s. 51 (1) (b) of Act 32 of 2004.]
SAIT CompendIum oF TAx LegISLATIon VoLume 1 365
INCOME TAX ACT – SCHEDULES