On 1 May 2023, Vusi Maseko, purchased 1700 shares in a South African company listed...
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On May Vusi Maseko, purchased shares in a South African company listed on the JSE for R per share. Vusi is not a share dealer and his intentions are to hold these shares for investment purposes. As Vusi did not have enough money to purchase the shares, he borrowed R from CapiBank, a South African bank, in order to purchase these shares. For the year of assessment he paid interest of Rwhich was correctly calculated in respect of this loan. Select the correct statement regarding the interest. The interest will be deductible in terms of sa read with sggeneral deduction formula The interest will be deductible in terms of sJ as Vusi is an issuer of an instrument The interest will not be deductible in terms of sJ as it capital in nature The interest will not be deductible in terms of sJ read with sf as it is not in the production of income The interest will be included in Vusi's gross income in terms of sJ as Vusi is a holder of an income instrument None of the above
On May Vusi Maseko, purchased shares in a South African company listed on the JSE for R per share. Vusi is not a share dealer and his intentions are to hold these shares for investment purposes. As Vusi did not have enough money to purchase the shares, he borrowed R from CapiBank, a South African bank, in order to purchase these shares. For the year of assessment he paid interest of Rwhich was correctly calculated in respect of this loan.
Select the correct statement regarding the interest.
The interest will be deductible in terms of sa read with sggeneral deduction formula
The interest will be deductible in terms of sJ as Vusi is an issuer of an instrument
The interest will not be deductible in terms of sJ as it capital in nature
The interest will not be deductible in terms of sJ read with sf as it is not in the production of income
The interest will be included in Vusi's gross income in terms of sJ as Vusi is a holder of an income instrument
None of the above
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