Page 40 - Test 1 Slides - 4. Gross Income
P. 40
GROSS INCOME
Example – application of physical
presence test
Solution:
c) Mr A is not ordinarily resident in SA. Applying the physical presence test:
• he was present in SA for more than 91 days in the current of assessment
• he was present in SA for more than 91 days in each of the five preceding years of
assessment
• he was not present in SA for more than 915 days during the preceding five years of
assessment (210 + 95 + 185 +175 + 160 = 825 days therefore this requirement is not met.)
Mr A will not be classified as a resident as he was not present in SA for a period exceeding 915
days during the previous five years of assessment.
d) Mr A is not ordinarily resident in SA. Applying the physical presence test:
• he was present in SA for more than 91 days in the current of assessment
• he was not present in SA for more than 91 days in each of the five preceding years of
assessment. In 20X5, he was only present for 85 days.
• he was present in SA for more than 915 days during the preceding five years of assessment
(210 + 85 + 320 + 175 + 160 = 950 days therefore this requirement is met.)
Mr A will not be classified as a resident as he was not present in SA for a period of 91 days in the
20X5 year.
40
