Antenuptial contracts and Revenue Laws

Most of the aspects discussed hereunder have already been mentioned in the preceding paragraphs, but the importance thereof necessitates the following short summary.

Donation Tax

No donation tax is payable in respect of the value of property which is disposed of under a donation to or for the benefit of the spouse of the donor under a duly registered antenuptial contract.

Estate Duty

No estate duty is payable on:-

1.         An amount due under a life policy which is recoverable by a surviving spouse or child of the deceased under a duly registered antenuptial contract; and

2.         Donations to or for the benefit of a spouse under a duly registered  antenuptial contract;

3.         Any accrual claim acquired by or against the estate of the deceased spouse will be taken in regard for estate duty purposes.

Transfer Duty / Value added tax

Immovable property donated in the antenuptial contract will attract payment of transfer duty or value added tax as the case may be. The amount payable is calculated on the market value of the property concerned and must be paid within the specified time period as provided for in the Transfer Duty Act or Value Added Tax Act.

Stamp Duty

 

No stamp duty is payable in respect of an antenuptial contract or in respect of a cession of a life policy in an antenuptial contract.

Written by Louwrens Koen Thursday, 02 February 2017 Posted in Antenuptial Contracts
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