Insurance spares, safety equipment and spare parts on ships

dc.contributor.authorKotze, Johan L
dc.date.accessioned2023-09-08T12:25:18Z
dc.date.available2023-09-08T12:25:18Z
dc.date.issued1999
dc.date.updated2023-09-08T12:24:53Z
dc.description.abstractThis paper deals with the treatment of spare parts on ships, in accordance with the Income Tax Act, No. 58 of 1962 (as amended), (hereafter 'the Act'). The question that is central to this issue is specifically when a spare part is brought into use. Flowing from this is the question of the purpose of a spare part. In summary the issues are as follow: What expenditure should properly be regarded as forming part of the cost of a ship? The expenditure envisaged here comprises essential safety equipment and spares included in a ship at the time of its construction prior to commissioning and its maiden voyage. If such expenditure is considered not to form part of the cost of a ship, should it in the alternative be deducted as operating expenditure? Should it then be included in trading stock as 'consumable stores and spare parts ... used or consumed' by virtue of having been brought into use or consumed when added to the ship? Should the cost of the subsequent replacement of the above items properly be regarded as operating expenditure? Apparently an airline received a written ruling from the Commissioner for the South African Revenue Services that if an aircraft is acquired with a spare engine, it will be regarded as part and parcel of the plane. It will be regarded as one asset for taxation purposes on which wear and tear is permitted. The airline is not required to include this 'spare' engine as a spare part for trading stock purposes.
dc.identifier.apacitationKotze, J. L. (1999). <i>Insurance spares, safety equipment and spare parts on ships</i>. (). ,Faculty of Law ,Department of Commercial Law. Retrieved from http://hdl.handle.net/11427/38473en_ZA
dc.identifier.chicagocitationKotze, Johan L. <i>"Insurance spares, safety equipment and spare parts on ships."</i> ., ,Faculty of Law ,Department of Commercial Law, 1999. http://hdl.handle.net/11427/38473en_ZA
dc.identifier.citationKotze, J.L. 1999. Insurance spares, safety equipment and spare parts on ships. . ,Faculty of Law ,Department of Commercial Law. http://hdl.handle.net/11427/38473en_ZA
dc.identifier.ris TY - Master Thesis AU - Kotze, Johan L AB - This paper deals with the treatment of spare parts on ships, in accordance with the Income Tax Act, No. 58 of 1962 (as amended), (hereafter 'the Act'). The question that is central to this issue is specifically when a spare part is brought into use. Flowing from this is the question of the purpose of a spare part. In summary the issues are as follow: What expenditure should properly be regarded as forming part of the cost of a ship? The expenditure envisaged here comprises essential safety equipment and spares included in a ship at the time of its construction prior to commissioning and its maiden voyage. If such expenditure is considered not to form part of the cost of a ship, should it in the alternative be deducted as operating expenditure? Should it then be included in trading stock as 'consumable stores and spare parts ... used or consumed' by virtue of having been brought into use or consumed when added to the ship? Should the cost of the subsequent replacement of the above items properly be regarded as operating expenditure? Apparently an airline received a written ruling from the Commissioner for the South African Revenue Services that if an aircraft is acquired with a spare engine, it will be regarded as part and parcel of the plane. It will be regarded as one asset for taxation purposes on which wear and tear is permitted. The airline is not required to include this 'spare' engine as a spare part for trading stock purposes. DA - 1999 DB - OpenUCT DP - University of Cape Town KW - law LK - https://open.uct.ac.za PY - 1999 T1 - Insurance spares, safety equipment and spare parts on ships TI - Insurance spares, safety equipment and spare parts on ships UR - http://hdl.handle.net/11427/38473 ER - en_ZA
dc.identifier.urihttp://hdl.handle.net/11427/38473
dc.identifier.vancouvercitationKotze JL. Insurance spares, safety equipment and spare parts on ships. []. ,Faculty of Law ,Department of Commercial Law, 1999 [cited yyyy month dd]. Available from: http://hdl.handle.net/11427/38473en_ZA
dc.language.rfc3066eng
dc.publisher.departmentDepartment of Commercial Law
dc.publisher.facultyFaculty of Law
dc.subjectlaw
dc.titleInsurance spares, safety equipment and spare parts on ships
dc.typeMaster Thesis
dc.type.qualificationlevelMasters
dc.type.qualificationlevelLLM
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