Page 9 - P6 Slide Taxation - Lecture Day 6 - Groups, Interest And Practice Questions
P. 9
Implications: Normal tax relief
provided
In the hands of the person
• The person is deemed to have disposed of a
capital asset at base cost, and an allowances
asset or trading stock asset at tax value.
• The tax effect is that the person does not realize a
recoupment, capital gain or trading profit.
• As consideration for the disposal of the asset, the
person acquires equity shares in a resident
company.
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