Question:
Hello. About your point: "Contributions are tax deductible – up to a maximum of 15% of non-pensionable taxable income. If you contribute more, you may claim excess amounts in future tax years. You may also add your excess contributions to the tax-free portion of any lump sum you receive." I contribute more than 15% of my non-pensionable taxable income. Does SARS keep track of this accumulating amount over my working lifetime? Do I need to calculate this amount myself and enter it into the arrears section on my tax return? Looking forward to your response, Best regards, Clint.
Answer:
Clint, SARS keeps a record of your contributions that it did not permit as tax deductions, provided of course that you have recorded all contributions made in your annual tax return, with the requisite proof (RA certificates). You do not claim this again. The "arrears" section refers to contributions paid in the current year that relates to a prior year.
