An individual’s primary residence was valued at R1 million on 1 October 2001. The residence was sold after the valuation date for R3,5 million.
| R | ||
| Proceeds | 3 500 000 | |
| Valuation date value | 1 000 000 | |
| Valuation fee | 5 000 | |
| Swimming pool added after valuation date | 45 000 | |
| R | R | |
| Proceeds | 3 500 000 | |
| Less: Base cost | ||
| Valuation date value | (1 000 000) | |
| Valuation fee | (5 000) | |
| Improvements | (45 000) | (1 050 000) |
| Gain | 2 450 000 | |
| Less: Primary residence exclusion | (2 000 000) | |
| Capital gain | 450 000 |
Related Documents
CGT2L – Valuation for Capital Gains Tax Purposes – External Form
IT-AE-36-G02 – Comprehensive Guide to the Income Tax return for Trusts – External Guide
LAPD-CGT-G01 – Comprehensive Guide to Capital Gains Tax
LAPD-CGT-G02 – The ABC of Capital Gains Tax for Individuals
LAPD-CGT-G04 – The ABC of Capital Gains Tax for Companies
LAPD-Gen-G08 – Guide on the Taxation of Professional Sports Clubs and Players
LAPD-IT-G02 – Guide on the Residence Basis of Taxation for Individuals
LAPD-IT-G12 – Guide to the Urban Development Zone Allowance
LAPD-IT-G19 – Comprehensive Guide to Dividends Tax
LAPD-IT-G20 – Guide to the Taxation of Special Trusts
LAPD-IT-G24 – Guide on Mutual Agreement Procedures
Legal-Pub-Guide-Gen01 – Taxation in South Africa
Legal-Pub-Guide-Gen02 – Guide for Tax Rates Duties Levies
Legal-Pub-Guide-IT11 – Tax guide for share owners
NR02 – Declaration by Purchaser for Sale of Immovable Property in SA by Non Resident – External Form
NR03 – Tax Directive Application by Non Resident Seller of Immovable Property in SA – External Form
