Page 66 - Test 4 Slides - Individual Class Slides

INDIVIDUALS & RING FENCING

Silke Example 7.12(a) - Deduction in terms of s

11F(2)

• Note 1 - This deduction is calculated after the inclusion

of any taxable capital gains and before the s18A
deduction.

• Note 2 - The ‘taxable income’ amount referred to above

(when determining on what amount the 27,5% must be

calculated) is based on the taxable income after the

inclusion of the taxable capital gain, subtotal.

• Note 3 – The taxable income for the third limitation is

calculated before:

• the taxable capital gain;

• the s 11F deduction, and

• the s 18A deduction.

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