Tax Professional (SA) Practice Questions - SAIT EISA Tax Professional Board Examination Exam - Tax Professional (SA) Practice Questions - SAIT EISA Tax Professional Board Examination Exam

Question 1

Under South African Income Tax Act Section 45 (Intra-Group Transactions), what is the key tax consequence when an asset is transferred between companies in the same group of companies?

Roll-over relief applies: no tax recoupment or capital gain is recognized at transfer date, and the transferee steps into the shoes of the transferor Immediate taxation of all capital gains at 80% inclusion Mandatory 20% Dividends Tax is levied on the asset value The transfer is treated as an arm's-length open market sale subject to immediate 15% VAT

Correct Answer:

Roll-over relief applies: no tax recoupment or capital gain is recognized at transfer date, and the transferee steps into the shoes of the transferor

Question 2

Under Section 31 of the South African Income Tax Act (Transfer Pricing), how must cross-border transactions between connected persons be adjusted for tax purposes?

The terms and conditions must reflect arm's-length pricing; if non-arm's-length terms reduce SA taxable income, the taxable income must be adjusted and the difference treated as a deemed dividend (or deemed gift) Transactions between connected persons are completely exempt from tax review Transfer pricing rules apply only if transaction value exceeds R10 billion Connected persons can freely set any transfer price to minimize overall global tax

Correct Answer:

Question 3

Under the Tax Administration Act (TAA) 28 of 2011 Section 104, within how many business days must a taxpayer lodge an Objection against a SARS assessment?

80 business days from the date of the assessment 30 business days from the date of assessment 180 calendar days 1 year

Correct Answer:

80 business days from the date of the assessment

Question 4

Under the South African Value-Added Tax (VAT) Act Section 8(16), what is the VAT treatment when a vendor supplies a business as a going concern?

Zero-rated (0% VAT) provided both buyer and seller are registered VAT vendors, the enterprise is an income-earning activity on transfer date, and agreed in writing Standard-rated at 15% VAT Exempt from VAT without input tax recovery Subject to 20% Dividends Tax

Correct Answer:

Zero-rated (0% VAT) provided both buyer and seller are registered VAT vendors, the enterprise is an income-earning activity on transfer date, and agreed in writing

Question 5

Under South African Income Tax Act Section 42 (Asset-for-Share Transactions), what tax relief is provided when a person transfers an asset to a company in exchange for qualifying equity shares?

Tax roll-over relief: deferral of capital gains tax and recoupment, with the company inheriting the transferor's tax base and holding period Immediate taxation of full market value as normal dividend 100% tax rebate of all prior corporate income tax Mandatory 15% VAT levy on share issue

Correct Answer:

Tax roll-over relief: deferral of capital gains tax and recoupment, with the company inheriting the transferor's tax base and holding period

Question 1

Exam overview

About this Exam

Prepare with the Tax Professional (SA) Practice Questions - SAIT EISA Tax Professional Board Examination Exam practice quiz. This question bank includes 100 questions covering section, south, african, income, and administration. Use it to review important concepts, identify knowledge gaps, and build confidence for the related exam, course, or assessment.

More details

Additional Information

Tax Professional (SA) Practice Questions - SAIT EISA Tax Professional Board Examination Exam

This practice set contains 100 questions from the matching question bank and focuses on section, south, african, income, and administration. Work through each question carefully, review the provided solutions, and revisit topics that need more study before your next attempt.

This is an independent study resource intended for practice and review; it is not an official examination or an endorsement by any organization named in the title.

Quiz information

Frequently Asked Questions

The complete question count is available after full access is unlocked.

No fixed duration is currently configured for this quiz.

Question explanations are included where they are available in the quiz content, helping you review the reasoning after answering.

Yes. You can retake the practice test again as you continue studying during your available access period.

After your access is confirmed, you can continue into the complete practice exam from this quiz flow.

Unless explicitly stated otherwise, this page provides independent practice material for study and exam preparation and is not the official examination itself.

Keep studying

Correct Answer:

Correct Answer:

Correct Answer:

Correct Answer:

Correct Answer:

About this Exam

Additional Information

Tax Professional (SA) Practice Questions - SAIT EISA Tax Professional Board Examination Exam

Frequently Asked Questions

Related Questions

10th Brigade Engineer Battalion (10BEB) Board Practice Exam

1-67 AR Death Dealers Board Practice Test

1â€‘502 NCO and Soldier of the Month Board Practice Exam

Ultimate Architect Registration Examination ARE Practice Exam

Architectural Planning Board Practice Exam

Architecture Board Exam - Site Planning Practice] Practice Exam