Die inkomstebelastinggevolge van die verkryging van 'n skuldbrief teen 'n diskonto

[摘要] ENGLISH ABSTRACT:In this study, the income tax implications of the acquisition of a debenture at adiscount is investigated. The purpose of this study is determine whether theproceeds from the redemption or disposal of the above-mentioned debentureare of a revenue or capital nature.It is customary for companies to issue debentures in order to obtain long termfinance. These debentures may be issued at a discount. There exists ageneral uncertainty in the academic literature regarding the income taximplications of the acquisition of a debenture at a discount to the face valuethereof.Section 24J of the Income Tax Act includes a discount in the definition ofinterest. There is no general definition of the words interest and discount inthe Income Tax Act. The lack of a statutory definition of these wordscontributes to the uncertainty regarding the income tax treatment of the sale orredemption of a debenture.The following aspects are discussed:(a) the revenue or capital nature of the proceeds on redemption and transfer ofa debenture;(b) the provisions of section 24J of the Income Tax Act; and(c) the provisions of capital gains tax.In order to determine the revenue or capital nature of the proceeds onredemption or transfer of a debenture, the following aspects are discussed:• The attributes of a debenture from an economic and legal perspective. Thefactors that determine the value of the discount of a debenture areconsidered from an economic viewpoint.• The guidelines that apply in general to determine the revenue or capitalnature of accruals are considered with specific reference to the guidelineslaid down by the South African courts. A distinction is drawn between theguidelines that consider the intention of the taxpayer and those guidelinesthat operate independently of the intention of the taxpayer.• The general guidelines are then applied to the proceeds on redemption ortransfer of a debenture. The ordinary meaning of interest and the meaning ofthe interest in the Income Tax Act are considered. The relation between adiscount and interest is examined. Case law from England, Australia andCanada are also considered.The writer comes to the conclusion that a discount that realises on redemptionof a debenture is in the nature of interest. The discount is revenue derived fromcapital productively employed and therefore not of a capital nature. Theproceeds from the transfer of a debenture is not of a capital nature if it is a gainmade by an operation of business in carrying out a scheme for profit making.The writer is of the opinion that section 24J influences the application of thegeneral principles. The writer is of the opinion that the objective test should beapplied to determine the nature of the accrual amount in terms of section 24J.The accrual amount will include a proportional amount of the discount. Theobjective test should be applied irrespective of whether the debenture is helduntil redemption or transferred before redemption.The provisions of section 24J should be applied before the capital gain orcapital loss is determined in terms of the Eight Schedule to the Income Tax Act.The proceeds from disposal must be reduced by any amount of the proceedsthat was included in gross income or taken into account in determining thetaxable income of a person. The base cost of a debenture acquired at apremium must be reduced by the amount of the premium that was allowed as adeduction in determining the taxable income of the holder of a debenture.

[发布机构] Stellenbosch University