Common use of Deduct and pay tax Clause in Contracts

Deduct and pay tax. Any cash benefit you receive at withdrawal or retirement, or which is paid to your dependants or beneficiaries may be taxable. The Administrator on behalf of the fund is obliged to deduct tax from the cash amount as per a tax directive issued by the South African Revenue Service (SARS) before it is paid to you and to pay the tax over to SARS on your behalf.

Deduct and pay tax. Any cash benefit you receive at withdrawal or retirement, or which is paid to your dependants or beneficiaries may be taxable. The Administrator on behalf of the fund is obliged to deduct tax from the cash amount as per a tax directive issued by the South African Revenue Service Services (SARS) before it is paid to you and to pay the tax over to SARS on your behalf.