Income tax case no 11362 Before the honourable A R Erasmus: President Mr C A Sharwood: Accountant member Mr F H Fereira: Commercial member
The appellant had made an investment in a certain operation, but sustained two losses.He attempted to claim the losses as deductions under section 11 of the Income Tax Act 58 of 1962.The Commissioner refused to allow the deductions, leading to the present appeal.
Held that the appellant bore the onus of proving that the Commissioner's decision was wrong.
The court found that the losses sustained by the appellant were not connected to his acquisition of income, and the appeal had to fail.
Section 240A of the Tax Administration Act, 2011 (as amended) requires that all tax practitioners register with a recognized controlling body before 1 July 2013. It is a criminal offense to not register with both a recognized controlling body and SARS.