Common use of Taxation of your investment Clause in Contracts

Taxation of your investment. Subject to income tax legislation and the above limits on annual and lifetime contributions, all income and capital gains generated by your investments held through the product account are exempt from income and capital gain taxes. Any contribution(s) made to your investment held through your product account over and above the above annual and lifetime limits will be taxed by the South African Revenue Services at a flat rate of forty per cent of such contribution.