Community

Share knowledge. Find answers. Ask questions.

Online Share Trading

Engage and learn about markets and trading online

TAX FREE SAVINGS ACCOUNTS - OST

Reply
Highlighted
Tenor
Contributor
So I opened my TFSA with Standard bank last year in March and started Contributing. I requested that accounts be added for My wife and child (1 year old )so that I can start saving for her as well. When adding these accounts I named them after my wife and child. When ,making a contribution today, the system showed all the contributions under my name. Call center says it all gets added under one tax number. So I will get taxed on the amount>R30 000 for 2015 Tax year. Also they cant open a seperate account for my Daughter under her own name because she is one year old. She needs to be seven. Seems like they have not thought about the details in the race to launch. I am not impressed.
0 Kudos
Reply
8 REPLIES 8
Super Contributor
You can branch off accounts (sub accounts ) under your own name, but you cannot assume that your wife or any other entity (be it natural or corporate) will exist under your identity: ID and tax ref, etc. As a guide FICA should be borne in mind when creating any account for a financial product.
0 Kudos
Reply
Super Contributor
I s advised that if one exceeds R30k, the tax is 40%?????
0 Kudos
Reply
Frequent Contributor
Are we allowed to move the TFSA from OST to another institution this year?
0 Kudos
Reply
Tenor
Contributor
I asked those specific questions when I opened the additional accounts. My daughter is one year old, and they cant open an account for her in her own name until she is 7 years old. (According to the Call Center yesterday).
0 Kudos
Reply
Super Contributor
The child hurdle is the case with any institution and any form of investment.
0 Kudos
Reply
Tenor
Contributor

Not true, I moved the Acount to Abnsa and they opened the Tax Free Savings account in her name with the supply of her Birht Certificate. No problem

0 Kudos
Reply
Tenor
Contributor
0 Kudos
Reply
Valued Contributor

the issue is that a Stock Broker cannot open an account for aybody under 7. A bank or FSP can

0 Kudos
Reply