Page 11 - F6 - Capital Gains Tax - Base Cost
P. 11

Example:  Option











        On 1 July 2001, Kosie paid R10 000 for a 6-month


            option to acquire a beach cottage at a price of R300


            000.  The market value of the option was R5 000 on


            1 October 2001.   He exercised the option on 1


            December 2001 and paid for the cottage.








        What is the base cost of the cottage?
   6   7   8   9   10   11   12   13   14   15   16