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May 15, 2026

Article 10 provides rules for determining the value of an asset upon its disposal for tax purposes. In cases of exchange, the disposal value is the market value of the asset acquired on the date of exchange. If an asset is disposed of without consideration (as a gift) or for an amount lower than its market value, the prevailing market value on the date of disposal must be used for tax calculations. These rules prevent the artificial reduction of taxable gains through non-arm's length transactions or undervalued transfers between related or third parties.

Part 2 - General Provisions

Section 4 - Value of the Asset Disposed of

Article 10

[GTL Notes: Disposal Value of Assets]

Subject to any special provisions provided for in this Law, the following shall be considered when determining disposal value of any asset disposed of:

Where one asset is exchanged for another, the market value of the asset acquired by exchange on the date of exchange shall be considered.
In the case of disposal of any asset from the assets of a taxpayer without consideration or for a consideration less than its market value, the market value of the asset on the date of disposal shall be considered.