A reminder that as of 1 March 2016 RA investors are allowed a tax deduction of up to 27.5% of taxable income, capped at R350,000 per year.
This is a significant increase from 15% previously and makes the tax savings on an RA more relevant for higher income earners (albeit less so for those earning more than R1,272,727 per annum where the new annual rand cap can be less than the previous 15% limit).
Click here to read Frequently Asked Questions on Retirement Reform.
