Retirement fund contributions in respect to pension fund contributions, won’t the pension contribution subject to the limits include employer and employee contributions? On the calculation sheets on efiling the employer contributions are excluded from con
Important:
This answer is based on tax law for the year ending 28 February 2020.
Answer:
We agree that the contributions made by the employer to a pension, provident or retirement annuity fund for the benefit of an employee is a taxable benefit – paragraph 2(l) of the Seventh Schedule to the Act. We accept that the benefit doesn’t have a no-value – see paragraph 12D(6).
On that basis the employee is deemed to have made the contribution and the deduction, section 11F applies – it is also taken into account in determining the balance of remuneration.
We are not sure what the ‘calculation sheets on efiling’ is that you refer to.