As we are approaching the end of the tax year, the question to ask yourself is: Have I maximised my contribution to a retirement annuity? Have I maximised the tax deduction? Well, one of the ways in which individuals can maximise their tax deductions is by contributing towards retirement funds. This is because total contributions towards retirement funds are allowed as a deduction against tax liabilities.
Taxable income before including capital gains. Please note that the tax deduction will be capped at the actual contributions made by the individual. If you are not contributing towards a pension or provident fund via your employment, you can reduce your tax liability by starting your own retirement annuity. Thus, you would contribute towards a retirement annuity by way of a lump sum or monthly contributions. You would also have the option to add funds to the retirement annuity as and when funds are available.
Retirees who wish to take the permitted cash withdrawal portion at retirement, will be taxed in accordance with the retirement tax table which exempts the first R500 000. However, the R500 000 tax-free portion is a cumulative total in your lifetime. Thus, if there had been prior cash withdrawals the tax-free portion will be affected.
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: Moneyweb - 🏆 5. / 77 Read more »
Source: TheCitizen_News - 🏆 6. / 75 Read more »
Buthelezi not thinking about retirement, despite hospitalisation for tests and restFamily spokesperson Bhekuyisa Buthelezi said the 93-year-old politician is not considering retirement because he feels there is so much more he can do for South Africans. Hayi makathathe umhlala phantsi ngoku. He has done his part. He needs to rest now yhoo There's still much more he can suck from the people
Source: TimesLIVE - 🏆 28. / 59 Read more »
Keamogetswe 'QV' Motlhale in therapy after her 'sudden' exit from #BBMQV became the first housemate to bid Big Brother Mzansi season 3 farewell.
Source: TimesLIVE - 🏆 28. / 59 Read more »
Source: TheCitizen_News - 🏆 6. / 75 Read more »
CAROL CROZIER: Employee share schemes and public BEE shares create wealthEsops have also been used to rectify skewed economic ownership that arose during apartheid
Source: BDliveSA - 🏆 12. / 63 Read more »