Page 135 - P6 Slide - Taxation - Lecture Day 1
P. 135

Solution













          • Determine market value                           R4m


          • Calculate gain\loss



          • Proceeds                                      R4m


          • Base cost                                    (R5m)



          • Capital loss                                                    R1m


          • Deemed base cost                                       R5m



          • Debt reduction                                          (1.5m)


          • Base cost reduced to                                R3.5m







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