Every now and then the term “assessed loss” comes up, whether in a newspaper article, a discussion with a tax practitioner or during an informal talk with another person. But what do the words “assessed loss” actually mean? This article will deal with assessed losses and the tax treatment thereof as applicable to taxpayers who are natural persons as defined in the Act. What is an assessed loss? An assessed loss arises when tax-deductible expenses exceed gross income for tax purposes. If SARS issues an assessment that contains the words “assessed loss” instead of “taxable income”, it means no income […]