Page 5 - P6 Slide Taxation - Lecture Day 6 - Groups, Interest And Practice Questions
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Asset-for-share transactions
• Person (including individuals, companies, cc’s, trusts
and professional partnerships).
• Any asset other than restraint of trade or personal
goodwill.
• Expects profits from disposal of assets. In other words,
I. the market value of the asset is equal to or exceeds
the base cost of the asset on the date of disposal (
where the asset is held as a capital asset); or
II. the market value of the asset is equal to or exceeds
the tax value, in terms of section 11(a), 22(1) or
22(2), of the trading stock (where the asset is held as
trading stock).
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