Proceeds

Also known as: disposal proceeds, sale proceeds

The amount received on disposal of a crypto asset, measured in rands at the time of disposal, from which base cost is deducted to find the gain.

Definition

Proceeds are what you receive when you dispose of a crypto asset. For a sale it is the rand amount received; for a crypto-to-crypto swap or a payment it is the market value in rands of what was received at the moment of disposal. Under the Eighth Schedule, the capital gain or loss is proceeds less base cost. For non-cash disposals you must value the proceeds in rands, which is why exchange rate and timestamp accuracy matters.

Example

You swap 1 ETH (then worth R40,000) for USDC. Your proceeds on the ETH disposal are R40,000, even though no rands were received.

Jurisdiction notes

  • South Africa: SARS measures proceeds in rands at the time of disposal, including the value received in a crypto-to-crypto swap.

See also