Gross Income: Special Inclusions

Question 1

SARS v Kotze

Answer 1

Informant who gave information
Police exercised their discretion and awarded kotze R200 000

Question 2

Deary v Deputy Commissioner of Inland Revenue

Answer 2

Quote that distinguishes annuity from periodical payment of a capital debt

if the principal asset disappears and an annuity takes its place = annuity

Question 3

Hogan

Answer 3

Injured fireman
Main characteristics of an annuity established but list is not inclusive:

1. Recurrence
2. Recipient must have a right
3. Chargeable against a person

Question 4

What are the way annuities can arise?

Answer 4

1. Bought from an insurance company
2. Granted by way of gift or inheritance
3. Consideration for sale of an asset
4. Consideration for surrender or loss of a right

Question 5

What is an anti-avoidance provision?

Answer 5

special inclusions i.t.o amounts for services rendered

You cannot ask the amount to be paid to a 3rd party for services rendered by you