The transition from the old emigration regime to the current regime – ceasing of tax residency, came with some relief. However, there were some silent changes that went unnoticed. The most notable change has been the requirement of a SARS Tax Compliance Status (TCS PIN) for every capital transfer a Non-Resident/Non-Tax Resident makes to offshore.
For years the South African Revenue Service (“SARS”) has been trying to amend legislation to affect the way that expatriates are taxed on their foreign earnings. Their relentless pursuit for tax compliance often directs them towards individuals who are not disclosing all their earnings.
During 2021, many South Africans were forced to start their own businesses to put food on the table, while others changed from traditional employees to contracted remote workers. Whether they retained a reduced salary or wholly embraced the responsibility of being an entrepreneur, it is important for these individuals to understand how the South African […]
One of the most notable adjustments during the global lockdowns, has been the introduction of remote working policies for staff. While the world was in a pandemic-induced cocoon, companies and employers were forced to shift their operations online.
The South African Revenue Service (SARS) has recently started issuing letters to taxpayers working abroad, confirming their change in status to non-residents for tax purposes. This is a somewhat peculiar development for expatriates who have previously ceased their tax residency, as they are now requiring an additional step to objectively support their non-residency as issued […]
With 2022 around the corner, South Africans working abroad should start preparing themselves for the new year. While difficult to steer clear of misinformation on social medias, these common misconceptions about Double Taxation Agreements (“DTAs”) could help you to spot the snake in the grass.
Following deliberation with members of the public, National Treasury recently released its official response to the Parliamentary submissions on their proposed Draft Tax Bills. Among other things, Treasury noted that they would withdraw a controversial amendment that would have been problematic for South African expatriates contemplating emigration.
The current tax filing season is almost at an end. Many taxpayers have submitted their annual return to the South African Revenue Service (“SARS”), while others are scampering to submit their returns before the 23 November 2021 deadline.
Expatriates and those with plans to emigrate will be relieved to learn that the proposal to impose an exit tax on retirement interests will be withdrawn.
National Treasury’s latest published Draft Tax Bills incorporated the contentious additional “exit tax”, which proposed to tax retirement fund interests of individuals when they cease South African tax residency.