Tax on initial lump sum payment upon early retirement

By Nicci Courtney-Clarke · Updated

Antistax

Antistax said:
1 May 2016 at 22:14

How much of R220 000. 00 is paid as lump sum on retirement at the age of 55?
Is the lump sum tax deductable?
TaxTim Nicci

TaxTim Nicci said:
2 May 2016 at 17:55

If this is your first withdrawal of a lumpsum then there will be no tax payable on this amount as it is below the threshold for retirement lumpsums.