Page 6 - P6 Slide Taxation - Lecture Day 6 - Retirement Benefits Lump Sums
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Lump sum? [LS]
Work Retirement
Receive retirement lump sum Receive retirement lump sum
withdrawal benefit benefit (RLSB)
Circumstances? Circumstances?
- Quit or withdraw from fund - Reaches retirement age and
before retirement date retires.
- At liquidation
- Death (before retirement date)
Who pays out the lump sum?
Employer Private sector fund Public sector fund
s 1, GI, par (d) or (f) s 1, GI, par (e) s 1, GI, par (e) or (eA)
Includes gross amount Includes net amount. For (e): include net amount.
Severance benefit? Apply 2 nd Schedule. Apply 2 nd Schedule par 2A.
Yes: RLSB tax table Apply table for RLSB or Apply table for RLSB or RLS
No: normal tax table for RLS withdrawal withdrawal benefits.
NP benefits. If (eA), no 2 Schedule.
nd
