In terms of the Income Tax Act, the following donations are exempted:

  1. between spouses who are not separated;
  2. were the donee will not benefit until the death of the donor;
  3. which are cancelled within six months from the date upon which it took effect;
  4. of property which is situated outside the Republic and was acquired by the donor:
    1. before becoming a resident of the Republic for the first time;
    2. by inheritance from a non-resident of the Republic;
  5. of property disposed of under and in pursuance of any trust provision;
  6. of property that consists of a right to use or occupy property that is used for farming purposes, and the donee is a child of the donor;
  7. to certain Public Benefit Organisations;
  8. by any company which is recognised as a public company; and
  9. between companies that is members of the same group of companies.

Posted on: June 10th, 2016

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