Paragraph 35 (proceeds)
Also known as: para 35, paragraph 35 proceeds
The Eighth Schedule provision defining "proceeds" on disposal — the amount received or accrued, which is reduced by base cost to find the gain.
Definition
Paragraph 35 of the Eighth Schedule defines proceeds from the disposal of an asset as the amount received by or accrued to the seller. For crypto, this includes the rand value received on a sale, the market value received in a swap, or the value of goods or services obtained by spending crypto. Proceeds less base cost (paragraph 20) gives the capital gain or loss.
Example
You sell BTC for R600,000. Under paragraph 35, your proceeds are R600,000; deduct base cost to get the capital gain.
Jurisdiction notes
- South Africa: Paragraph 35 of the Eighth Schedule defines proceeds for South African CGT, including value received in crypto swaps and spending.