Print Page
News & Press: Individuals Tax

The countdown begins for retirement funds to comply with the final Default Regulations

Wednesday, 20 September 2017   (0 Comments)
Posted by: Authors: Leigh Sedice and Sajeel Bhagwanjee
Share |

Authors: Leigh Sedice and Sajeel Bhagwanjee (ENSafrica)

The final Default Regulations, issued in terms of section 36 of the Pension Funds Act, 1956, were recently issued by the South African Minister of Finance. They aim to provide retirement funds with greater discretion and flexibility in relation to their default investment portfolios and annuity strategies. 

To comply with the regulations, many funds will need to amend their rules and investment policy statement. The board of trustees of funds will also need to carefully consider their fund’s position to ensure compliance with the new regulations.

On 22 July 2015, the first draft of the Default Regulations was published by National Treasury. The first draft broadly followed the principles set out by National Treasury in its 2011 paper titled “Charges in South African Retirement Funds”. Following extensive consultation with various stakeholders, National Treasury published a revised second draft of the Default Regulations on 10 December 2016. Following further amendments to the second draft, the final Default Regulations were issued on 25 August 2017, and took effect on 1 September 2017.  

Please click here to view full article.

This article first appeared on ensafrica.com.


Access the latest COVID-19 information by checking our COVID-19 Member Notice Board
 

WHY REGISTER WITH SAIT?

Section 240A of the Tax Administration Act, 2011 (as amended) requires that all tax practitioners register with a recognized controlling body before 1 July 2013. It is a criminal offense to not register with both a recognized controlling body and SARS.

  • Tax Practitioner Registration Requirements & FAQ's
  • Rate Our Service

    Membership Management Software Powered by YourMembership  ::  Legal