1. **Problem Statement:** Martin sold his factory on 18 February 2024 for 90000. He bought it on 3 March 2008 for 30000 and made extensions costing 10000 in December 2021. Selling expenses were 3000. We need to compute the Capital Gains Tax (CGT) for the 2024 year of assessment with a tax rate of 20% and an inflation factor of 1.5. 2. **Formula and Important Rules:** Capital Gain = Selling Price - (Purchase Price + Cost of Extensions + Selling Expenses) adjusted for inflation. Adjusted Cost = (Purchase Price + Cost of Extensions) \times Inflation Factor Capital Gain = Selling Price - Adjusted Cost - Selling Expenses CGT = Capital Gain \times Tax Rate 3. **Calculate Adjusted Cost:** Purchase Price + Cost of Extensions = 30000 + 10000 = 40000 Adjusted Cost = 40000 \times 1.5 = 60000 4. **Calculate Capital Gain:** Capital Gain = Selling Price - Adjusted Cost - Selling Expenses Capital Gain = 90000 - 60000 - 3000 = 27000 5. **Calculate CGT:** CGT = Capital Gain \times Tax Rate = 27000 \times 0.20 = 5400 **Final Answer:** The Capital Gains Tax (CGT) for the 2024 year of assessment is 5400.