Page 91 - SAICA Tax Day 2 Slides

GROSS INCOME

Capital

• Mixed intention - consider dominant intention

• Consider whether there has been a change in intention prior

to the receipt of proceeds

• Scheme of profit making vs. realising an asset to best

advantage (Stott)

• Crossing the Rubicon? (Natal Estates)

• If a taxpayer receives an amount for the employment of or

use of capital, then this will be income regardless of

intention

• Onus is on taxpayer to prove non-taxability (s82)

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