Timely conversion of cessation profit into annuity for premium deduction in 2023

Did you cease your business in 2023 and want to claim the cessation annuity premium deduction in that year? Then make sure you have paid the premium by 1 July 2024 at the latest. You may then deduct the cessation annuity premium from income in the cessation year. However, the deduction is capped. The amount depends, among other things, on your age at the cessation moment, the degree of possible disability and on the effective date of the annuity payments.

Tip
Do you want to deduct the annuity premium in the cessation year 2023? Then make sure you have converted and paid the cessation profit before 1 July 2024.