|
TaxTim says: 10 February 2013 at 22:43 The old textbook refers to the deductions up until the 2012 year. For 2013 and beyond there is a new regime whereby a pure tax credit is given. So instead of there being a deduction before taxable income is calculated, the credit is given against the actual tax payable. So to answer the question, which I must admit is ambiguous as the whole value would be taxable, just dependent on the regime. 1. So 2 x R230 x 12 3 *R154 x 12 = R11 064 would be allowed as a tax credit each year. 2. If the tax credits (230 230 154 154 154) in this case multiplied by 4 is greater than the monthly contribution then this difference would be allowed as a deduction provided this difference exceed the 7.5% threshold of the taxpayers taxable income. |
