This course introduces Capital Gains Tax (CGT) in a simple, practical way for South African taxpayers. It explains what CGT is, when it applies, how to identify a “disposal,” how to calculate a capital gain or loss, and how CGT fits into normal income tax for individuals and companies. The course focuses on everyday CGT events—like selling property, shares, or a business asset—and the key concepts learners need to avoid common mistakes.
Module 1: What CGT Is — And What It Isn’t
Content: CGT as part of income tax (not a separate tax), why it exists, and how it differs from normal revenue/profit tax.
Module 2: Capital vs Revenue — The Starting Point
Content: Why classification matters, key indicators SARS considers (intention, frequency, holding period, nature of asset), and common real-world examples.
Module 3: The CGT Trigger — What Counts as a “Disposal”?
Content: Common disposal events (sale, donation, exchange, cessation of residence), and why timing/date of disposal matters.
Module 4: CGT Building Blocks — Proceeds, Base Cost, and Capital Gain/Loss
Content: The basic CGT formula, what “proceeds” include, what “base cost” means, and typical costs that form part of base cost.
Module 5: Worked Example: Shares/Investments
Content: A clean, step-by-step share disposal example including purchase costs, selling costs, and arriving at the gain/loss (conceptual and practical).
Module 6: Worked Example: Property
Content: Common property base cost items (purchase costs, improvements, transfer costs), selling costs, and common traps (repairs vs improvements conceptually).
Module 7: Exclusions and Relief — The Big Ones to Know
Content: Key relief concepts at a high level (e.g., primary residence idea, personal-use assets concept, small gains exclusions where applicable), and when exclusions don’t apply.
Module 8: Capital Losses and Ring-Fencing Concepts
Content: What happens if there’s a capital loss, how losses are generally used, and why capital losses don’t simply reduce salary/business income.
Module 9: CGT for Individuals vs Companies (and a Note on Trusts)
Content: The practical differences in CGT “impact” between entity types (inclusion rate conceptually), why structure matters, and typical beginner misunderstandings.
Module 10: SARS Reporting and Common CGT Mistakes
Content: Where CGT appears in income tax returns, what supporting documents SARS expects, common errors (wrong base cost, missing improvements evidence, incorrect capital/revenue classification), and basic record-keeping tips.
• Individuals who own or plan to sell property, shares, crypto, or other investments
• Small business owners disposing of business assets or part of a business
• Junior accountants, bookkeepers, and trainee tax practitioners
• Anyone who wants CGT clarity without getting overly technical.
