Capital gains tax came into effect from 1 October 2001, thus this means that capital gains events will take place as from the implementation date. The effect of this will especially be on estates, emigrants and certain companies i.e. companies with a year-end of October, November and December.
As the 2002 annual tax return is not yet available, such taxpayers will be submitting returns that do not yet fully make provision for capital gains tax. For this reason an interim capital gains tax return (CGT 1) is available on the SARS web-site (www.sars.gov.za) that must accompany the annual tax return. A valuation form is also available on the SARS web-site.
As the company returns will only fully make provision for capital gains tax from the 2002 tax year, it is important to note that the interim capital gains tax return must also be completed and be submitted together with the annual tax returns.
A basic set of guidelines regarding the calculation of taxable income in respect of individuals where a capital gains event has taken place is also available on the SARS web-site.
If further information is required, please contact your nearest Receiver of Revenue Office or contact the capital gains tax call centre on 0860 12 12 15 or send an e-mail to email@example.com
ISSUED BY THE COMMISSIONER FOR THE SOUTH AFRICAN REVENUE SERVICE