Tag: Double Taxation Agreement (DTA)
Breaking down dual residency – understanding the shifting tax base
South Africa’s tax base continues to evolve in striking ways. Recent South African Revenue Service (SARS) figures show a growing trend. The number of individuals registered for tax increased from 25.9 million in 2023 to 27.1 million in 2024. Yet, only 7.6 million of these individuals were expected to file a return.
Ceasing SA tax residency in countries that don’t offer permanent residence
To be released from their local tax obligations in relation to foreign income, emigrating South Africans must be able to prove to the South African Revenue Service (SARS) that they have permanently left the country.
Financial emigration – should I stay, or should I go?
Whether working abroad or still hunting for jobs overseas, the possibility of a financial emigration always hits centre stage at some point. Tax is inherently complex, but once you start crossing borders it becomes an ever-changing calculation that can easily render void the benefits of earning a foreign income, which was possibly the reason why you chose to work abroad in the first place.
Multi-jurisdictional estate planning crucial if you have assets offshore
According to the University of South Africa (UNISA), South African households’ real net worth increased by over R1 trillion from the second to the last quarter of 2020, despite the economic contraction due to the pandemic. Consequently, more people are inclined to make offshore property investments in popular destinations such as Portugal and Mauritius.
Most favoured nation clauses
'Most favoured nation' clauses can be found in Double Taxation Agreements (DTA). These clauses are essentially where the tax treatment accorded by one state to another state must be no less favourable than the tax treatment extended to a third state.
