There are no taxes (no Capital Gains Tax, no Dividends Tax and no Income Tax from interest earned) on any returns you receive from investing in a Tax Free Savings Account.
In order to really reap the rewards, investors need to reach the lifetime contribution cap of R500 000 as early as possible.
There is, however, an annual contribution limit of R30 000.
The deadline for reaching this R30 000 limit is 29 February 2016.
The Money Show’s Bruce Whitfield interviewed Stuart Theobald, Chairman of Intellidex.
Theobald discussed what you need to know about this deadline.
Scroll down for quotes from the audio below.
If you’re saving money it makes sense to use this Tax Free Savings Account.— Stuart Theobald, Chairman of Intellidex
If you take on higher volatility you will be rewarded with higher returns.— Stuart Theobald, Chairman of Intellidex
You can open a Tax Free Savings Account for your child.— Stuart Theobald, Chairman of Intellidex
Even if you’re 67 years old it makes sense to use these accounts.— Stuart Theobald, Chairman of Intellidex
I anticipate Treasury will increase these limits.— Stuart Theobald, Chairman of Intellidex
This article first appeared on 702 : Get the most out of a Tax Free Savings Account (you’ve got ‘till the end of Feb)