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Retrenchment tax & notice pay

Posted 8 March 2016

Frederic says:
7 March 2016 at 15:24

If your retrenchment package is notice pay that you are required to work out, is it eligible for a tax directive? or is this only applicable to severance of ex-gratia? Does it need to be paid in one lump sum?

Thanks

TaxTim TaxTim says:
8 March 2016 at 8:48

Notice pay is not subject to a tax directive in the sense of minimised tax as per the lumpsum tax tables.

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