16.     Intangible assets acquired prior to valuation date

 

(1)     A person must, in determining the aggregate capital gain or aggregate capital loss of that person, disregard any capital loss determined in respect of the disposal of an intangible asset acquired prior to valuation date-

 

(a)     from a connected person in relation to that person; or

(b)     which was associated with a business taken over by that person or any connected person in relation to that person.

 

(2)     For the purposes of subparagraph (1), ‘intangible asset’ means-

 

(a)     goodwill;

(b)     any patent as defined in the Patents Act or any design as defined in the Designs Act or any trade mark as defined in the Trade Marks Act or any copyright as defined in the Copyright Act or any rights recognised under the Plant Breeders’ Rights Act 1976 (Act No. 15 of 1976), or any model, pattern, plan, formula or process or any other property or right of a similar nature;

(c)     any intellectual property right or property or right of a similar nature in respect of which a proprietary interest may be established in terms of the common law of the Republic of South Africa, or

 

(d)     any other intangible property except any financial instrument.