Regulations > 2016 Regulations > Regulations in terms of paragraph 12D(5)(a) of Seventh ...

In these Regulations, any word or expression to which a meaning has been assigned in the Income Tax Act, 1962 (Act No. 58 of 1962), bears the meaning so assigned, and—

"annuity accrual rate"

means, in relation to a period for which a certificate is issued, the annual increase in the annuity benefit of a defined benefit component—

(a)	occurring as a result of fund membership during the period in respect of which the certificate is issued; and

(b)	expressed as the average of a proportion of final salary (as defined in the rules of the fund) in respect of all members of a fund member category;

as if all those members would have qualified in terms of the rules of fund to a receive an annuity benefit upon retirement.

"annuity benefit"

means an annuity—

(a)	payable by a fund on retirement in consequence of membership or past membership of that fund; and

(b)	in respect of which a portion of the final salary (as defined in the rules of the fund) is utilised to calculate the amount of the benefit of the fund member;

"death benefit"

means a benefit payable in respect of the death of a member to that member, the estate of that member or to a dependant or nominee of that member.

"lump sum"

means a single amount—

(a)	payable by the fund on retirement in consequence of membership or past membership of that fund to a member of that fund; and

(b)	of which the value is calculated as constituting a portion of the final salary (as defined in the rules of the fund) of the fund member;

"lump sum accrual rate"

means in relation to a period for which a certificate is issued, the annual increase in the lump sum of a defined benefit component—

(a)	occurring as a result of fund membership during the period in respect of which the certificate is issued; and

(b)	expressed as the average of a proportion of final salary in respect of all members of a fund member category.

Income Tax Act, 1962 (Act No. 58 of 1962)

Regulations