The following are the  general requirements:

 

• An original agreement of sale document and certified copy for office file.
• Original identification particulars and a certified copy of same for office file, for both seller and buyer.
• Original Deed of Transfer (title deeds), Cession Agreement and current confirmation letter from Local Authority for verification and certified copies for the file.
• Original Proof of payment and its copy in the form of bank transfer/written confirmation signed by both parties and or receipt.
• A General Power of Attorney if the seller or buyer is unable to attend the interview for any reason acceptable to the Commissioner.
• Letter of Undertaking by depository (Banks, Lawyers and Estate Agents) where the seller is not able to pay the tax until the property is registered by the buyer. The letter must state that payment will be made within 30 days from date of issue of assessment.
• Proof relating to cost of improvements incurred after 1st February 2009.
• Valuation Report from Registered Property Valuers’ (Act) the sale of commercial property.
• Buyer and sellers proofs of residence.
• Letter from local authority confirming area of stand and date of purchase/cession.

Capital Gains Tax (CGT) is levied on the capital gain arising from the disposal of a specified asset. Whether with title deeds or without.

Amounts received or accrued on the realization or distribution of a deceased estate of a specified asset forming part of such estate are exempt.

A Donation is a deemed sale and therefore CGT is payable on the amount which in the Commissioner’s opinion is equal to the fair market price of such an asset.

A sale on credit is a deemed sale which attracts Capital Gains Tax on the gross capital amount.

 

The gross capital amount shall be the whole amount accruing as a result of the sale including instalments not yet due and payable in terms of the Agreement.