IMPORTANT TAX SAVING TIPS AS WE BEGIN THE NEW TAX SEASON – CONTACT US NOW TO ASSIST YOU
Tax Free Savings Accounts
All taxpayers are able to make an annual contribution limited to R33 000 to this type of investment - it is in addition to the annual tax-free interest allowance for individual taxpayers. This investment will be exempt from income tax on Interest, Dividends Tax and Capital Gains Tax.
Save tax and plan for your retirement!
The combined contribution deduction towards all pension, retirement annuity funds and provident funds will be 27.5% of all taxable income, however, the contribution deduction will be capped at R350 000 per tax year.
Build your Wealth
With current marginal tax rates of 45% for an individual and a Trust, we urge you, in addition to ensuring that you maximise your Retirement Annuity Contributions, to consider the highly tax efficient Section 12J investments, particularly if you are selling a business or assets that have resulted in Capital Gains. The main features include up-front tax relief and no recoupment if the investment is held for at least 5 years. Certain minimum investment contributions and periods would apply but it is fund dependent.
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