Section 57: Gains and losses on disposal of assets.

(1) Subject to this Act, the gain realised or the loss incurred on the disposal of a business or investment asset istaken into account in determining chargeable income. (2) The gain from the disposal of an asset is the excess of the consideration received over the adjusted cost base of the asset. (3) The loss from the disposal of an asset is the excess of the adjusted cost base over the consideration received. (4) No gain or loss on disposal of a depreciable asset is taken into account otherwise than under section 39. (5) The gain or loss on disposal of an asset which is not a business or investment asset is not taken into account in determining chargeable income. (6) Where a taxpayer— a) converts a business asset or investment asset to personal use; b) converts an asset primarily used for personal purposes to a business or investment asset; c) converts a business asset to an investment asset; or d) converts an investment asset to a business asset, the taxpayer is deemed to have disposed of the asset for its market value at the time of the conversion and reacquired it for a cost equal to its market value. (7) A non-resident person who becomes resident is deemed to have acquired all assets owned by the person at the time Of becoming a resident for their market value at that ''mp-* 8) A resident person who becomes anon-resident is deemed to have disposed of all assets owned by the Person at the time of becoming a non-resident for their market value at that time. (9) Where a person to whom subsection (8) would otherwise apply— a) intends to reacquire status as a resident of Sierra Leone; and b) provides the Commissioner with sufficient security to satisfy any tax liability that would otherwise arise under subsection (8) the Commissioner may exempt the person from the application of subsections (7) and (8).