Page 102 - F6 Slide - Taxation - Lecture Day 4

Special Rules – Instalment Credit

Agreements

Study
definitions

Instalment credit agreements SILKE

32.23.1

Suspensive sales and finance leases

• supply for payment in future/instalments over a period

• payment incl. finance charges

• amount payable > cash value of supply (sold @ profit)

Risk of ownership Suspensive sale

passes to purchaser • date when terms of agreement has been

complied with

Difference Finance lease

• date lease agreement has been concluded