Government withdraws proposal to impose exit tax on retirement interests
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plans to emigrate will be relieved to learn that the proposal to impose an exit tax on retirement interests will be withdrawn.
Tax Consulting SA is the largest independent tax practice in South Africa, comprising over 130 full-time professionals, which include tax and corporate attorneys; chartered accountants; Africa leading tax specialists; work visa specialists and the like, who are recognised experts in their respective professional areas. Our significant client base has grown organically due to our reputation as a leading and trusted advisor who values fortifying strong, lasting relationships with clients who value both a tax and holistic services partner; capable of skillfully navigating the long haul across a wide array of technical territory. We also appreciate that we are only as good as our last engagement and that maintaining the highest standard of service is non-negotiable. Recognising this philosophy, our clients appoint and return to us by choice. Due to our tax technical expertise on the subject, we were approached by LexisNexis to author their textbook, titled: “Expatriate Tax: South African Citizens Working Abroad and Foreigners in South Africa”. This is LexisNexis’ first South African expatriate tax textbook, which deals with incoming and outgoing expatriates and the tax legislation surrounding this. The book was published in October 2019. One of the foremost tax experts on the bench, Judge Dennis Davis, is quoted saying: “In summary, this is a carefully considered book which not only deals with all the various tax implications of immigration/emigration but even has space for a useful chapter on work permits. it is a most welcome addition to our body of tax literature and will doubtless be essential reading for anyone advising his or her client concerning the tax consequences of migration.”
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plans to emigrate will be relieved to learn that the proposal to impose an exit tax on retirement interests will be withdrawn.
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.
For many expats, more and more questions have been left unanswered as this filing season, and the tax filing period draws to a close on 23 November.
The proposed tax has widely been christened as a further “exit tax” imposed on South Africans leaving the country.
The Mauritius Revenue Authority issued a Statement of Practice on 24 August 2021 (SOP24/21) on the taxation of Mauritius trusts.
On 18 October 2021, the Presidency released an official letter addressing the state of unemployment in South Africa.
Sunny shores, diverse cultures and vibrant people, are some of the features that make South Africa a desired destination for skilled foreign nationals.
Whether working abroad or still hunting for jobs overseas, the possibility of a financial emigration always hits centre stage at some point.
In search for opportunities abroad, many South Africans have taken to the seas. It might not be the same as working in a new country, but it offers a change of scenery while earning a foreign income.
In light of recent developments on the sides of both the South Africa Revenue Service (“SARS”) and the South African Reserve Bank (“SARB”), the regulatory burden for the cross-border flow of funds, resulting from transactions concluded between South African residents and foreign parties, has been significantly eased.
(Partner Content) If the emotional roller coaster of the cryptocurrency crash following Elon Musk’s latest Tweet that Bitcoin and other cryptocurrency mining consumes too much dirty energy such as coal, and his earlier decision that it can no longer be used to buy a Tesla, has got you down, at least one positive spin-off is that the dip may be short lived.
(Partner Content) Despite the substantial difficulties they have faced over the past year, South African pilots working abroad are still required to pay tax to the South African Revenue Service (SARS), unless there is a Double Taxation Agreement (DTA) in place that renders their income non-taxable.
(Partner Content) The process of financial emigration, which is the process that allows a taxpayer to formally place themselves on record as a non-resident for tax purposes with the South African Revenue Service (SARS), recently changed and came into effect on 1 March 2021.
(Partner Content) Tax Consulting South Africa Legal Manager, Africa Tax and Compliance, Jashwin Baijoo said the firm had recently noticed an increasing trend of large multi-national enterprises (MNEs) seeking to break into the African frontier by expanding their operations across multiple countries to tap these burgeoning new markets.
(Partner Content) A new set of tax law amendments, signed by President Cyril Ramaphosa, and promulgated on 20 January 2021 has granted SARS all the legal fire power it needs to impose criminal sanctions on taxpayers who neglect their tax affairs.
(Partner Content) Mauritius has quickly become an attractive destination for many South Africans who want to improve their lifestyles. The Government in Mauritius implemented new immigration regulations that make it easier for South Africans to embark on a more extended stay in the country.
(Partner Content) As 28 February 2021 looms near on the horizon, so too does the deadline for the second provisional tax submissions for 2021. This February will be the most important tax submission to date for expatriates earning above the R1.25million threshold as they will now be exposed to a previously non-existent tax liability in South Africa.
(Partner Content) Many South Africans who live or work abroad have traditionally taken a “head-in-the-sand” approach with regard to their South African tax affairs. While this is often borne from a belief that one is not taxable in South Africa for income earned abroad, or that SARS will not know about their foreign income and assets. This, however, is not the case.
(Partner Content) As an expat who lived abroad for a few years, I recently became aware of expat tax and this dreaded February 2021 deadline that was making headlines. Having studied law, but then taking a detour to follow my passion for teaching, I had absolutely no knowledge of expat tax and how it affects me.