A Brief Indication On The Tax Implications Applicable When Buying Immovable Property

There are various options available to buyers when looking at acquiring property. These options are as follows:

• In your personal capacity;
• In a Close Corporation (If you can still get one, as there are still some Shelf CC’s left);
• In the name of a Company; or
• Alternatively to have the property bought in the name of a Trust

When acquiring a property there are various questions that a buyer has to ask himself in respect of the reasons for acquiring the property.

For example:

• will it be the buyer’s primary residence which will be solely for personal use;
• will it be a holiday home,
• commercial property,
• or merely an investment property

The main focus when making the relevant choice is the buyer’s risk that he will be exposed to.