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FAQs
How it works
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How it works
You can contribute up to R30,000 per tax year, and up to R500,000 during your lifetime, tax free. These limits are governed by legislation and may change. Should you exceed these limits you will be penalised 40% on contributions above the limits by the South African Revenue Service (SARS). It is your responsibility to monitor your account and ensure that you do not contribute more than the prescribed limits.
You can withdraw funds from your account, but these funds may not be replaced. Any direct transfers between financial institutions or individuals (or estates) are not allowed until further notice. Funds withdrawn from a Tax-Free Savings Account and transferred into another Tax-Free Savings Account will be deemed as a contribution.
A qualifying RMB Private Bank transactional account is needed to open the RMB Private Bank Tax-Free Savings Account.
You can withdraw funds from your account, but these funds may not be replaced. Any direct transfers between financial institutions or individuals (or estates) are not allowed until further notice. Funds withdrawn from a Tax-Free Savings Account and transferred into another Tax-Free Savings Account will be deemed as a contribution.
A qualifying RMB Private Bank transactional account is needed to open the RMB Private Bank Tax-Free Savings Account.
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Frequently asked questions
What is meant by a tax year for individuals?
A tax year is different from a calendar year as it starts on the 1st day of March and ends on the last day of February the following year.
What is the tax year contribution limit for an individual? Currently you are allowed to contribute a maximum of R30,000 each tax year into any Tax-Free Savings Account(s) that you own. This limit is governed by law and may change over time with inflation.
What is the lifetime contribution limit for an individual? Currently you are allowed to contribute a maximum of R500,000 in your lifetime into any Tax-Free Savings Account(s) that you own. This limit is governed by law and may change over time with inflation.
Is there a restriction on the number of accounts I can hold? Tax-Free Savings Accounts can be held at one or more qualifying institutions. At RMB Private Bank you are allowed to hold both Tax-Free Savings Account product choices. You can choose the Tax-Free Cash Deposit and the Tax-Free Shares Account. However, contribution limits will not be monitored at a customer level if both product choices are selected. It is your responsibility to monitor your annual tax year contribution limit as well as the lifetime limit.
Will current interest exemptions remain? Yes, current interest exemptions will remain however they will not be increased with inflation.
What is the tax year contribution limit for an individual? Currently you are allowed to contribute a maximum of R30,000 each tax year into any Tax-Free Savings Account(s) that you own. This limit is governed by law and may change over time with inflation.
What is the lifetime contribution limit for an individual? Currently you are allowed to contribute a maximum of R500,000 in your lifetime into any Tax-Free Savings Account(s) that you own. This limit is governed by law and may change over time with inflation.
Is there a restriction on the number of accounts I can hold? Tax-Free Savings Accounts can be held at one or more qualifying institutions. At RMB Private Bank you are allowed to hold both Tax-Free Savings Account product choices. You can choose the Tax-Free Cash Deposit and the Tax-Free Shares Account. However, contribution limits will not be monitored at a customer level if both product choices are selected. It is your responsibility to monitor your annual tax year contribution limit as well as the lifetime limit.
Will current interest exemptions remain? Yes, current interest exemptions will remain however they will not be increased with inflation.
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