Tax on SA lotto

[Azbubu]

Watching "Lottery changed my life", this guy won $75.6 million but ended up with only $25 million after taxation.

Anyone know what the lotto taxes in SA are? 15%?

 

[ld13]

Last time I checked: 0%

Becomes taxable as soon as you pass it along.

 

[F1 Fan]

75 to 25? that's just crazy? Why does the government have the right to that money anyway

 

[Beachless]

15% was introduced in 2012 if I remember correctly...

 

[Drifter]

Tax on lotto winnings is zero.

 

[Beachless]

Tax on lotto winnings is zero.

15%

 

[gregmcc]

During the 2011 Budget Speech Minister of Finance, Mr Pravin Gordhan, announced the proposal that with effect from 1 April 2012 all gambling winnings above R25 000, including those from the National Lottery, be subject to a final 15 per cent withholding tax.

http://www.accountancysa.org.za/resources/ShowItemArticle.asp?ArticleId=2373&Issue=1112

 

[Beachless]

My bad after googling it seems like most other things they failed to implement it even though its been announced in the budget speeches.

So still no tax but they are trying to get their hands on your gambling monies.

If you want to win the lotto now is the time.

 

[murraybiscuit]

75 to 25? that's just crazy? Why does the government have the right to that money anyway

they have the guns, cells and wardens.

 

[Fulcrum29]

I always thought that national lottery winning totals are already taxed?

 

[Jehosefat]

Watching "Lottery changed my life", this guy won $75.6 million but ended up with only $25 million after taxation.

Also, afaik, in the US the actual jackpot amount is paid out to you in instalments over a few years but you can choose to take a once-off payment immediately although you do get a lot less that way. 67% tax rate seems a bit high tbh.

 

[MickZA]

... 67% tax rate seems a bit high tbh.

How about 95% ?

[video=youtube_share;Oyu5sFzWLk8]http://youtu.be/Oyu5sFzWLk8[/video]

http://en.wikipedia.org/wiki/Taxman

 

[Fulcrum29]

I know 2 SA originated companies which moved to the US and then moved to the Cayman Islands into a tax Free environment, doing business in both US and UK…

http://www.cayman.com.ky/tax-free

These companies mostly pour their capital into real estate, residential, industrial and commercial properties in the Cayman Islands.