1
, UNIVERSITY OF SOUTH AFRICA (UNISA)
COLLEGE OF LAW
INCOME TAX LAW: LML4804
TABLE OF CONTENTS
QUESTION 1: TAX ADMINISTRATION, TAX AVOIDANCE AND TAXPAYER
1. Introduction
2. Meaning of an arrangement
3. Tax benefit
4. Sole or main purpose of obtaining a tax benefit
5. Tainted element: abnormal means or manner in a business context
6. Lack of commercial substance
7. Tainted element in a non-business context
8. Abnormal rights or obligations between parties
9. Misuse or abuse of the Income Tax Act
10. Application to Yaya's circumstances
11. Section 80J notice and section 80B assessment
12. Conclusion to Question 1
QUESTION 2: CAPITAL GAINS TAX
1. Introduction
2. R3 million severance package
2
, 3. R1 million compensation from the Minister of Police
4. Sale of the Midrand house
5. Appointment of Downtown Real Estate Agency
6. Purchase of the Johannesburg CBD penthouse
7. Sale of the GX Sport vehicle
8. Purchase of the Wild XX SUV
9. Donation of Kruger Rands to Maria
10. Overall conclusion to Question 2
REFERENCES / AUTHORITIES
3
, UNIVERSITY OF SOUTH AFRICA (UNISA)
COLLEGE OF LAW
INCOME TAX LAW: LML4804
TABLE OF CONTENTS
QUESTION 1: TAX ADMINISTRATION, TAX AVOIDANCE AND TAXPAYER
1. Introduction
2. Meaning of an arrangement
3. Tax benefit
4. Sole or main purpose of obtaining a tax benefit
5. Tainted element: abnormal means or manner in a business context
6. Lack of commercial substance
7. Tainted element in a non-business context
8. Abnormal rights or obligations between parties
9. Misuse or abuse of the Income Tax Act
10. Application to Yaya's circumstances
11. Section 80J notice and section 80B assessment
12. Conclusion to Question 1
QUESTION 2: CAPITAL GAINS TAX
1. Introduction
2. R3 million severance package
2
, 3. R1 million compensation from the Minister of Police
4. Sale of the Midrand house
5. Appointment of Downtown Real Estate Agency
6. Purchase of the Johannesburg CBD penthouse
7. Sale of the GX Sport vehicle
8. Purchase of the Wild XX SUV
9. Donation of Kruger Rands to Maria
10. Overall conclusion to Question 2
REFERENCES / AUTHORITIES
3
