The South African Revenue Service has published Interpretation Note 101, which provides guidance on the interpretation and application of section 24I of the Income Tax Act of 1962. Section 24I deals with the income tax treatment of foreign exchange gains and losses on exchange items as well as premiums or like consideration received or paid in respect of foreign currency option contracts (FCOCs) entered into and any consideration paid in respect of an FCOC acquired by certain persons. Under section 24I, exchange differences calculated for a year of assessment are generally included in or deducted from income whether realized or...