The taxation of capital gains under the Income Tax Act

Abstract

This thesis is limited to one form of taxation, namely the taxation of capital gains. It is directed at identifying and discussing the difference that exists at present under our law between the notion of capital and income and the effects cause by the introduction of taxation of capital gains in the Income Tax Act. The different rules applicable to different transactions are discussed, while certain deficiencies are pointed out. The amendments introducing taxation of capital gains, and the related regulations are relatively new, and one cannot refer to any local rulings or judgements. Thus while this dissertation attempts to point difficulties which may arise in the application of the law and lacunae, it will not reveal the solutions to every problem but it is hoped that it will provide a useful starting point.