Tax3703 second assignment (Sem 1 2024)
Question 1
1) Value of usufruct
Market at death R3 250 000
Annual amount (R3 250 000 x 12%) R390 000
Neo’s PV factor @60 7.341 35
Usufruct (R390 000 x 7.341 35) R2 863 127
2) Complete executor’s account for the estate of Bob Mahlangu
First and final liquidation and distribution accounts in the estate of Bob
Mahlangu (ID 6102027863070). Bob died on 2 March 2024 in Johannesburg
where he resided. The deceased was married out of community of property to
Neo Mahlangu, the accrual claim applied to the marriage.
Master’s reference number: 1567/2024
LIQUIDATION ACCOUNT
R
Assets not reduced to cash
Residence in Johannesburg 3 250 000
Furniture and household items 800 000
Motor vehicle (Model 2018, X4 MBW) 780 000
Investment in a Chiking (Pty) Ltd, (R3 000 000 x 25%) 750 000
5 580 000
Cash & Assets reduced to cash
200 000 shares in Gold Fields Ltd 2 850 000
Dividend from Chiking (Pty) Ltd 90 000
Fixed deposit at Capitec Bank (R105 416 – R425) 104 991
3 044 991
Total assets (R5 580 000 + R3 044 991) R8 624 991
Liabilities & administrative expenses
Various liabilities 164 300
Funeral expenses 36 000
Accrual claim 500 000
Executor’s remuneration (R8 624 991 x 3.5%) 301 875
Master’s fees 7 000
1 009 175
Estate duty 246 736
Liabilities and administrative expenses 1 255 911
Question 1
1) Value of usufruct
Market at death R3 250 000
Annual amount (R3 250 000 x 12%) R390 000
Neo’s PV factor @60 7.341 35
Usufruct (R390 000 x 7.341 35) R2 863 127
2) Complete executor’s account for the estate of Bob Mahlangu
First and final liquidation and distribution accounts in the estate of Bob
Mahlangu (ID 6102027863070). Bob died on 2 March 2024 in Johannesburg
where he resided. The deceased was married out of community of property to
Neo Mahlangu, the accrual claim applied to the marriage.
Master’s reference number: 1567/2024
LIQUIDATION ACCOUNT
R
Assets not reduced to cash
Residence in Johannesburg 3 250 000
Furniture and household items 800 000
Motor vehicle (Model 2018, X4 MBW) 780 000
Investment in a Chiking (Pty) Ltd, (R3 000 000 x 25%) 750 000
5 580 000
Cash & Assets reduced to cash
200 000 shares in Gold Fields Ltd 2 850 000
Dividend from Chiking (Pty) Ltd 90 000
Fixed deposit at Capitec Bank (R105 416 – R425) 104 991
3 044 991
Total assets (R5 580 000 + R3 044 991) R8 624 991
Liabilities & administrative expenses
Various liabilities 164 300
Funeral expenses 36 000
Accrual claim 500 000
Executor’s remuneration (R8 624 991 x 3.5%) 301 875
Master’s fees 7 000
1 009 175
Estate duty 246 736
Liabilities and administrative expenses 1 255 911
