1. **State the problem:** 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 using 20% rate for years post 2019 and 5% for years pre-2019. 2. **Formula and rules:** Capital Gain = Selling Price - (Purchase Price + Cost of Extensions + Selling Expenses) CGT = Sum of gains for pre-2019 years taxed at 5% + gains for post-2019 years taxed at 20% We must apportion the gain based on the holding period before and after 2019. 3. **Calculate total holding period:** From 3 March 2008 to 18 February 2024 is approximately 15 years and 11.5 months. 4. **Calculate holding periods pre-2019 and post-2019:** Pre-2019: 3 March 2008 to 31 December 2018 = 10 years 10 months (approx 10.83 years) Post-2019: 1 January 2019 to 18 February 2024 = 5 years 1.5 months (approx 5.13 years) 5. **Calculate total capital gain:** Selling Price = 90000 Purchase Price = 30000 Extensions = 10000 Selling Expenses = 3000 Capital Gain = 90000 - (30000 + 10000 + 3000) = 90000 - 43000 = 47000 6. **Apportion capital gain:** Total holding period = 10.83 + 5.13 = 15.96 years Gain pre-2019 = $47000 \times \frac{10.83}{15.96} = 47000 \times 0.6789 = 31988.3$ Gain post-2019 = $47000 \times \frac{5.13}{15.96} = 47000 \times 0.3211 = 15011.7$ 7. **Calculate CGT:** CGT pre-2019 = $31988.3 \times 0.05 = 1599.42$ CGT post-2019 = $15011.7 \times 0.20 = 3002.34$ Total CGT = $1599.42 + 3002.34 = 4601.76$ **Final answer:** The Capital Gains Tax for the 2024 year of assessment is approximately 4602.