Question:
I am 58 and have accessed (retired) one of my annuities. I am still continuing working. Will only retire at 65. The 1/3rd amount of the fund was R88000.00 paid to me in cash. I also receive R1058.00 as a monthly pension. Is the R88000.00 seen as a withdrawal lump sum or a retired lump sum. What will the tax be.
Answer:
Mr(s) Hon, The R88 000 is a retirement lump sum. As the first R500 000 of your (cumulative) retirement lump sums are not taxed, the whole amount will be paid to you tax free.
The information and answers supplied in this section do not constitute advice as defined by the Financial Advisory and Intermediary Services Act, 37 of 2002.
