Money as gift and Tax

[ld13]

Double check but he could give each sibling R100k and then donate the rest to the Mom (theres a different limit to donations to spouses) and then the Mom could also donate R100 to each.

Afaik the R100k limit applies to the donor and not the receiver. R100k to each child would trigger a 20% tax payable within three months of the date of the donation. The spouse is of course exempt from this so combined they can donate up to R200k per year, split between the kids.

 

[Freshy-ZN]

Afaik the R100k limit applies to the donor and not the receiver. R100k to each child would trigger a 20% tax payable within three months of the date of the donation. The spouse is of course exempt from this so combined they can donate up to R200k per year, split between the kids.

Too many Hansas....yes youre right. Individualis allowed R100k worth of donations a year. My bad, in an effort to screw SARS I nearly screwed the OP.

 

[InTheWild]

Too many Hansas....yes youre right. Individualis allowed R100k worth of donations a year. My bad, in an effort to screw SARS I nearly screwed the OP.

So wait... the donor gets taxed when its more than R100k per year, but not the receiver?? Now I'm totally confused

 

[IzZzy]

So wait... the donor gets taxed when its more than R100k per year, but not the receiver?? Now I'm totally confused

AFAIK only if the donor fails to pay the tax within a certain period, does the donee get taxed.

 

[amboehm]

A friend want's to sent me a money gift from Ghana. How does it work and do I have to pay any money before I will receive it

 

[tcofran]

Good necro

 

[Salmank]

A friend want's to sent me a money gift from Ghana. How does it work and do I have to pay any money before I will receive it

If you really think they sent and you pay, you wont be paying that money to SARS. Rather, you will be paying to that scamster who managed to convince you that he is your friend and he is sending you his grandfather's uncles cousins niece daughters inheritance as a gift.