Question:
I transferred my retirement annuity from PPS to Sanlam. No monies were paid out. I was advised that I will not pay tax on same as it is just a horizontal shift of funds. I never received these funds as a cash payout.SARS added the retirement annuity to my income for the 2013 tax year . can they do this if the funds were never received and what can I do now to resolve this?
Answer:
Chantelle, You are looking on e-filing, no doubt. That is normal practice. You need to send SARS a copy of your transfer confirmation that you should have received from Sanlam, and they will treat it correctly (ie they won't tax it). You should adjust your return accordingly.
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