Blog Q&A Calculators Students Logbook Contact
Earn under R350,000?Click here to see why you still need to file to get your Tax Refund.
CLOSE
Need Help with your 2017 Tax Return?

Get your tax return DONE in 10 minutes or less with TaxTim!

Try TaxTim Now

How to treat a loss in a trust

Posted 14 April 2016 under Tax Q&A


Let TaxTim
help you
submit your
Tax returns!


TaxTim will help you:

 Do Your Tax Return Easily
 Avoid penalties
 Maximise your refund

Tim uses your answers to complete your income tax return instantly and professionally, with everything filled in in the right place.

Let Tim submit your tax return direct to SARS in just a few clicks!

Get started

Blog Categories


Ask TaxTim

Got a question you want answered about tax?

Visit our helpdesk →
Annie says:
8 April 2016 at 13:56

Can we deduct expenses against a nil income, creating a loss, in a trust?

This entry was posted in Tax Q&A and tagged , . Bookmark the permalink.

TaxTim TaxTim says:
11 April 2016 at 7:19

You can and this will be carried over to the next year if you make a profit.

Annie says:
11 April 2016 at 11:04

SARS disallowed this because of Section 11 (a) read with Section 23(g) Please advise.

TaxTim TaxTim says:
14 April 2016 at 9:40

Well, it depends on the actual expenses, in theory losses can be carried forward. The disallowing of expenses is before the loss is created so it depends on what the expenses are and if the trust ever makes a profit. 11(a) and 23(g) reads that expenses must be expenses for the purposes of trade, if the trust is not seen to be actively trading then the expenses are disallowed.


Get SARS Tax Dates and Deadlines in your Inbox
 

We'll tell you when you need to file, along with tax tips and updates.

Blog Categories


Let TaxTim
help you
submit your
Tax returns!


TaxTim will help you:

 Do Your Tax Return Easily
 Avoid penalties
 Maximise your refund

Tim uses your answers to complete your income tax return instantly and professionally, with everything filled in in the right place.

Let Tim submit your tax return direct to SARS in just a few clicks!

Get started