Scenario 2
Part A
Mr Wasserman has a taxable income (before taking capital gains or losses into account) of
R650 000 for the year of assessment ended 28 February 2014.
During the year Mr Wasserman sold the following private use assets:
Base Cost R
Selling Price
R
Private Motor Car
100 000
90 000
Shares in A Ltd
25 000
55 000
Shares in B Ltd
38 000
30 000
Holiday House
200 000
280 000
Private Domestic Dwelling
1 000 000
2 600 000
An 8 metre Fishing Boat
200 000
220 000
An 11 metre yacht
800 000
750 000
A Painting
50 000
75 000
Note that Mr Wasserman and his wife have always occupied the private domestic
dwelling that is situated on a property of less than 2 hectares.
REQUIRED
a. Calculate Mr Wasserman’s taxable income for the year of assessment ended 28 February
2013.