So now weinvested our R30k for this last year and made a bit of Randellas extra, and next year 1 March 2016 we invest a further R30. Right. The profit from last year can be reinvested tax free as well? Very stooped when it comes to Tax .
This needs to be clarified(."... if you withdraw R1 from it.." ) The impression is possibly being created that a withdrawal taints the balance remaining in the TFSA - this is not so. ( IT IS ONLY) the amount withdrawn cannot be "replaced" and enjoy the benefits of no taxes of any kind - which brings me to the next point - the balances in the accounts at the time of your death are liable to estate duty. (And in case you were a little rusty on recent tax events be sure that the rate will in due course be higher than the present 20% - although the intention is to lift the threshold...) Oh and there is no minimum period of investment- where did you get 15 years?
My current understanding, for your Tax Free Account, is that you are limited to R30K per year, and a current lifetime total of R500k. So if you invested your 30K every year you would add the last 20K in your 17th year. If you take out any amount, the amount you take out comes out of your lifetime allowance 500K limit. Assuming the rules dont change that is. Thats my understanding of it.
No, I don't think so. If, say, you had R20k of profits by year 5 and you withdraw that, it does not change your lifetime R500k contribution limit at all (you just lose the compounding interest benefit of the R20k).