This year’s budget was fairly uneventful. Many of the proposals mentioned in previous years are still being finalised.
The only significant change is that medical aid claims for persons over 65 years of age has changed from a deduction basis to a credit basis which could have a potential impact on tax liabilities.
The other point worth mentioning is that the tax free portion for lump sum payments made on withdrawal or resignation has been increased to R25,000 and R500,000 respectively.
Please click through on the following documents provided by Personal Trust International: