Loral is 28 years old. During the current year of assessment, he earned a salary R500 000. He contributed R60 000 to his retirement fund. His employer contributed R65 000 to his retirement fund. He contributed R6 000 per month to a medical aid fund for the full tax year. His employer made an equal amount of contributions to his medical aid for the for the full tax year.

YOU ARE REQUIRED to calculate the retirement fund contribution deduction which Loral will be allowed to deduct from his taxable income for the current year of assessment.

a.  125 000

b. 197 000

c.  175 175

d.  60 000

Answer rating: 100% (QA)

The detailed answer for the above question is provided below Correct answer a 125000 To calculate th... View the full answer