donations tax
Bewind trusts are created as trading vehicles and provide trustees with limited liability as well as certain tax benefits for beneficiaries. In a bewind trust, the trust founder sets up the trust in such a way that the assets and
In December 2022, there were further stringent amendments made to the Trust Property Control Act, including a change in the trustees reporting and the introduction of a new definition of ‘beneficial owner’.
Where beneficiaries have been nominated on the investment, funds housed in a living annuity do not form part of your deceased estate and can be efficiently transferred to your loved ones in the event of your death.
In terms of calculating estate duty, there is an abatement on the first R3.5 million of the value of the estate which is not subject to tax. If the deceased is the first-dying spouse, they may roll over any unused
If you are an individual investor, you can use your annual capital gains tax exemption, being the first R40 000 of gains made on your investment portfolio, to rebalance their portfolios if necessary.
For a donation mortis causa to be effective, the donation must be in writing and must be signed by the donor, donee and two witnesses before the donor’s death. Being contingent on a future event, the donor is free to
Once you’ve maximised your retirement fund contributions, consider enhancing your long-term savings by investing through a tax-free savings account (TFSA). Or, if you already have a TFSA in place, consider maximising your annual allowable contributions.
If you have a large portion of your accumulated wealth invested in your business, then it is important to consider what will happen to your business interests in the event of your death. It is likely that you intend for
The real benefit of a living trust is that because trusts don’t die, assets housed in a trust can move from generation to generation without being subject to estate administration and the associated costs thereof.
When contemplating a trust structure, do not lose sight of the fact that running a trust adds a layer of complexity and costs to your financial affairs. When setting up a family trust, keep in mind that you will be
