Outstanding IRP5 2022 Book year

Late Estate: Momentum Client

My Father passed away in March 2021 and was a client and investor at ASBA bank and also appointed them as Executor to his estate. He was also a Client at Momentum up to 22 March 2021 when the annuity came to an end upon his passing. According to the IT3(a) tax certificate received and issued by Momentum it started on 2021/03/01 and ended on 2021/03/22 for the 2022 tax year. At this stage all seemed to be in order, until a follow-up with ABSA on 2022/11/24 revealed the following: ‘’ The IRP5 is not yet available. They only have the IT3(a) tax certificate attached. Patrick from momentum advised that the IRP5 there’s a possibility that it might be available early next year.” This meant that they cannot continue with their submissions to SARS and therefore the estate cannot be finalized until 2023?

I contacted Momentum personally and spoke to a gentleman on 2022/12/08 who again issued me with the IT3(a) tax certificate and ensured me that this is the certificate that Momentum issues and that this is the certificate that can be used for submission to SARS. The certificate was forwarded again to ABSA, unfortunately with no avail. On 2023/01/16 a complaint was raised with ABSA and they started with their investigation. On 2023/02/01 the following feedback was received from ABSA : “The progress of the resolution of your complaint is currently as follows: • It would appear that in respect of the tax certificate issue for SARS that the accountant refers to directives (IRP 3(e) that she received from Momentum and which do not reflect a certificate number but I note an IRP 3(a) was subsequently provided to Absa Trust and which do reflect a certificate number. I am in the process of clarifying whether the accountant received the IRP 3(a) and her comments thereto. “

The next feedback from ABSA received on 2023/02/03 now stated something totally different: “I confirm that we have taken the following steps to resolve your complaint: • In respect of the tax certificate required for submission of the tax return to SARS the accountant confirmed that the IRP5 certificate is for a Lumpsum payment and is indeed required on this estate. The IT3(a) is for monthly income payments and is also available on SARS e-filing but is not was requested by the accountant. Momentum was again contacted on 02 February and unfortunately the IRP5 certificate is still not available from their side. I trust that the above clarifies the need for the IRP5 certificate and the reason why the IT3(a) cannot be used and that we have therefore resolved the issues that you raised. “

The question that I raised hereafter was what book year they are referring to on the IRP5, since I can not believe that they would be referring to the 2023 book year and must surely refer to the 2022 book year in which the annuity only ran for 22 days? In 2 months time, we will be in the 3rd book year, why is it impossible to issue an IRP5 on an annuity that only ran 22 days in 2021?

Could you kindly assist me in this investigation in order to get this issue resolved or clarified from your side. All proof is available in writing in order to assist in your investigation.

Regards